Private school fees rose by 3.7 per cent compared with last year, the biggest rise in half a decade

Private schools are saving taxpayers billions of pounds a year, their head teachers have said in a forceful defence of the sector.

The heads used their annual report yesterday to assert the financial benefits of fee-charging schools and the good they are doing for society.

The schools bring economic benefits and taxpayer savings by educating pupils who would otherwise need state places and by providing employment, community facilities and tax contributions, an analysis for the Independent Schools Council (ISC) has found.

Private schools have come under pressure from both main parties, with questions raised over their social contribution and whether they should continue to enjoy charitable status.

Labour has vowed to add VAT to private school fees to pay for free school meals for state