Grammar schools in selective areas are a form of “state-sponsored segregation” that stifle social mobility for poorer children, the Liberal Democrat education spokesman has said.

Layla Moran, speaking at the party's annual conference, attacked the government’s flagship education policy to expand existing grammar schools to create more places as a “waste of money”.

Ms Moran, who has been tipped as a new party leader, said in her speech to Lib Dem activists that only 3 per cent of children on free school meals go to grammar schools, adding that children from better-off families are more likely to pass the 11-plus entrance exam as their parents pay for tuition.

She said: “What I want to do – what I would like to see us do as a party – is take on the harmful, antiquated tradition of the 11-plus exams and indeed all barriers to entry in the state system.

“I’m especially talking about those areas where families have no choice whatsoever about taking the exam. Where creaming off the middle classes is demonstrably stifling social mobility for those worse off. In those areas, grammar schools are in effect state-sponsored segregation.

“It is wrong. And it needs to stop.”

The Oxford West and Abingdon MP, who attended a private school, also called for a fresh look at the charitable status enjoyed by independent schools that “disproportionately serve the wealthy”.

She said: “I think we should remove charitable status unless an independent school can concretely show it’s benefiting the entire community, like a charity might.

“We should end this type of state-sponsored segregation too.”

Speaking to a packed conference hall in Brighton, Ms Moran also called for watchdog Ofsted to be abolished, and for primary-school tests and the government’s school league tables to be overhauled.

She said: “Far too often, Ofsted causes far more harm than good. Likewise, it beggars belief that we insist on continuing to publish league tables that cultivate a damaging system where schools compete so ferociously that they forget their true purpose: to improve education for all.”

The conference gift shop: UK party political merchandise Show all 29 1 /29 The conference gift shop: UK party political merchandise The conference gift shop: UK party political merchandise UKIP Farage contraceptive for sale at the 2018 party conference in Birmingham PA The conference gift shop: UK party political merchandise Labour Beard cream (not endorsed by Corbyn) for sale at the 2017 party conference in Brighton PA The conference gift shop: UK party political merchandise UKIP Underwear for sale at the 2018 party conference in Birmingham PA The conference gift shop: UK party political merchandise Labour Underwear for sale at the 2003 party conference in Bournemouth Reuters The conference gift shop: UK party political merchandise Conservatives Cufflinks for sale at the 2014 party conference in Birmingham Getty The conference gift shop: UK party political merchandise Labour Cufflinks for sale at the 2012 party conference in Manchester Getty The conference gift shop: UK party political merchandise Conservatives "Our Maggie" ale for sale at the 2013 party conference in Manchester Getty The conference gift shop: UK party political merchandise Liberal Democrats Leader Jo Swinson and assorted other Lib Dem themed mugs for sale at the 2019 conference in Bournemouth Getty The conference gift shop: UK party political merchandise For the young Labour supporter who doesn't have much choice in the matter, for sale at the 2018 party conference in Liverpool Getty The conference gift shop: UK party political merchandise UKIP Brexit Fudge for sale at the 2018 party conference in Birmingham PA The conference gift shop: UK party political merchandise Labour Various Corbyn goods for sale at a party conference on alternative models of ownership in 2018 Getty The conference gift shop: UK party political merchandise Conservatives Thatcher's spitting image keyrings for sale at the 2005 party conference in Brighton Reuters The conference gift shop: UK party political merchandise Scottish Nationalists Loch Yes infant's garment for sale at the 2013 party conference in Perth Getty The conference gift shop: UK party political merchandise Liberal Democrats Leader Sir Vince Cable holding a Sir Vince Cable tribute teddy bear at the 2018 party conference in Brighton PA The conference gift shop: UK party political merchandise Conservatives Cufflinks for sale at the 2014 party conference in Birmingham Getty The conference gift shop: UK party political merchandise Labour Blair badges for sale at the 2003 party conference in Bournemouth Getty The conference gift shop: UK party political merchandise Conservatives Christmas baubles for sale at the 2009 party conference in Manchester PA The conference gift shop: UK party political merchandise Liberal Democrats Mugs bearing the likenesses of the Liberal Democrats MPs available at the 2018 party conference in Brighton Getty The conference gift shop: UK party political merchandise Labour Pun titled sweets for sale at the 2018 party conference in Liverpool Reuters The conference gift shop: UK party political merchandise Labour Pun titled sweets for sale at the 2018 party conference in Liverpool Reuters The conference gift shop: UK party political merchandise Labour Cufflinks for sale at the 2018 party conference in Liverpool Reuters The conference gift shop: UK party political merchandise Scottish Nationalists Foam fingers and tote bags for sale at the 2016 party conference in Glasgow AFP/Getty The conference gift shop: UK party political merchandise Conservatives For the young conservative who doesn't have much choice in the matter, for sale at the 2016 party conference in Birmingham Getty The conference gift shop: UK party political merchandise Conservatives "David's Bitter" for sale at the party conference in 2010, the same year that brothers Ed and David Miliband stood against one another for the Labour leadership PA The conference gift shop: UK party political merchandise UKIP Novelty playing cards for sale at the 2016 party conference in Llandudno, North Wales PA The conference gift shop: UK party political merchandise Conservatives An infant's garment for sale at the 2014 party conference in Birmingham Getty The conference gift shop: UK party political merchandise Conservatives The history book section of the 2016 party conference in Birmingham Getty The conference gift shop: UK party political merchandise Scottish Nationalists Phone cases for sale at the 2017 party conference in Aberdeen Getty The conference gift shop: UK party political merchandise Conservatives A branded golf ball for sale at the 2014 party conference in Birmingham Getty

On students being removed from school to improve league table results, Ms Moran said: “Theresa May is literally scrubbing out those children’s futures. I call this educational purging. It is a disgrace.”

The former teacher also called for a pay rise for teachers and for an improvement to their workload. “They are without a doubt the most valuable part of our education system,” she said.

In May, the government announced plans to give £50m to existing selective schools – with the requirement that they set out plans to boost the number of places for disadvantaged students.

From this term, some of the 163 grammar schools in England will benefit from the cash boost enabling them to create thousands more selective school places.