Former Private School Hits the Auction Block for £1.6 Million After Closure

A notable private school in the UK, which was among the first to close following VAT reforms, is now set for auction with a starting bid of £1.6 million.

Kilgraston School, located in Perthshire, ceased operations abruptly last August when a planned sale fell through. At the time of its closure, the institution faced a funding gap of £2 million, and school representatives indicated that the upcoming VAT on school fees would exacerbate financial strains.

Established in 1930, Kilgraston was Scotland’s sole Catholic boarding school. Although a fundraising initiative by parents partially mitigated the financial deficit, the school still incurred debts exceeding £900,000 at the time of its closure.

The property, which features the A-listed Kilgraston House along with an equestrian center, tennis courts, and a swimming pool, was initially listed for sale in November but did not attract buyers. It is now scheduled to be auctioned on July 2 with a guide price of £1.6 million.

Numerous extensions were constructed on the main building, which dates back to 1793, incorporating classrooms and dormitories that accommodated over 100 students and 30 staff members.

According to the auction listing, “A chapel and theatre space are among the features of the main building, while the former stable block, now used as a junior school, is category B listed.”

“The property includes various sports facilities such as a 25-meter indoor swimming pool, tennis courts, an equestrian center with stables and an outdoor arena, a large floodlit hockey pitch, and an indoor gymnasium. Additionally, there are three residential properties on the grounds,” the listing continues.

The site spans over 55 acres and is surrounded by farmland and the town of Bridge of Earn.

Agents from Savills stated, “We believe that Kilgraston House, along with its ancillary features and recreational spaces, could continue as an educational institution. It could potentially be transformed into a hotel or leisure facility. Furthermore, this site may also be apt for residential development.”

The closure of the school was attributed to challenges posed by Covid-19, but a letter to parents indicated that the looming impact of VAT on school fees also played a significant role in the closure decision.

Following the dissolution of Kilgraston School, students were offered placements at neighboring Glenalmond College and Craigclowan School. The school required 210 pupils to remain viable but reported that only 173 were enrolled. Tuition fees ranged from £11,000 to £14,000 per term for boarding students, while day students paid between £5,000 and £8,000 per term.