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Abu Dhabi private school fees: When can schools apply for tuition charge increase?

What are the conditions and criteria under which an institution can apply for a fee hike?

Published: Sat 16 Nov 2024, 6:00 AM

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In the UAE, expats often allocate a substantial portion of their income to rent and education. Parents with children in private schools often face rising costs as tuition fees increase with each grade level. When schools raise fees, the financial strain intensifies. However, education regulatory bodies in the UAE impose limits to prevent arbitrary fee hikes.

The Department of Education and Knowledge (Adek) in Abu Dhabi regulates the school sector to ensure that fees are reasonable, transparent, and consistent with the quality of education provided. Adek's policy outlines the requirements for setting school fees and establishing payment schedules.

In 2023, schools that ranked ‘Outstanding’ for the academic year 2021-22 were allowed to hike fees, capped at 3.94 per cent for the 2023-24 academic year. However, schools that achieved a rating of ‘Very good’ qualify for a 3.38 per cent fee hike.

Schools rated as ‘Good’ were permitted to apply a 2.81 per cent increase, and schools rating ‘Acceptable’, ‘Weak’, and ‘Very weak’ can implement a maximum tuition fee increase of 2.25 per cent.

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Fee structure:

Fee components: Schools in Abu Dhabi must break down the fees into the specific components outlined below. They have the discretion to categorise and organise these components as they see fit but must disclose them to parents during the registration process.

  1. Tuition fees
  2. Educational resource fees
  3. Uniform fees
  4. Transportation fees
  5. Extracurricular fees
  6. Others

Board examination fees: A separate fee may be charged for board exams to cover the processing of documents, invigilator, mailing, etc. and mentioned clearly on the school website.

Waivers: Schools will waive certain fees for devices, textbooks, uniforms, and other related items for students who opt to use second-hand items—such as those that are resold or donated—provided these items meet the school's current requirements (e.g., valid textbook editions, approved uniform colours/designs, etc.).

Fees and increments:

Tuition fee increase: Schools must submit clear and accurate applications for approval to raise their fees, adhering strictly to the timelines set by Adek, along with any subsequent amendments. The following pre-requisites must be followed for a standard school fee increase:

  • Have a valid school licence at the start of the academic year.
  • Must have been operational for a minimum of three years.
  • Financial audit reports for the past two academic years must be submitted through the licensing system.
  • Application must be submitted during the designated fee increase window approved by Adek.

To be eligible for an exceptional school fee increase, schools must abide by the following conditions when submitting their applications to Adek:

  • Adjusted operating losses for the last two consecutive academic years, endorsed by the school’s auditor.
  • Operate at an occupancy rate of not less than 80 per cent.
  • Have been in operations for at least three academic years.
  • Have a valid school license at the start of the academic year.
  • Submit audited financial reports for the last two academic years, prepared according to IFRS.
  • Guarantee that no implementation, in whole or in part, of any exceptional increase has been granted in the same academic year.

Embassies' private schools may apply for an exceptional increase in tuition fees provided they meet the following conditions:

  • Justification provided for the proposed fee increase.
  • Have obtained the approval of the governing board.
  • Have attached the approval of the embassy/consulate to which the school is affiliated, if applicable.

Other fees: Schools are authorised to charge book fees, uniform fees, and others based on actual expenses.

Rejection of fee increase requests: Any request for standard tuition fee increases or any exceptional tuition fee increases may be rejected by Adek.

Schools are authorised to charge transportation fees with the required approvals from Adek and the Integrated Transport Centre (ITC).

Fee schedule

Tuition fees: Schools are required to publicly share detailed fee payment schedules on their websites. They can enter into an agreement with parents to ensure adherence to these payment schedules, in accordance with the following guidelines:

  • Schools shall implement a system of three or more equal tuition fee payment instalments (e.g., 3, 4, or 10 installments) for each academic year.
  • Schools are authorised to collect the first instalment up to one month before the beginning of the academic year.

Registration fees (includes re-registration fees):

  • Cap on registration fees: Schools are authorised to charge registration fees of up to 5 per cent of their Adek-approved tuition fees.
  • Registration fees may only be collected from students who are officially enrolled.
  • Registration fees can be collected by the school up to four months before the start of the academic year.
  • Any registration fees collected shall be deducted from the student’s final tuition fees.

Fee transparency:

The school website must show the Adek-approved fees, payment schedules, and procedures for parents. Schools are only permitted to charge fees within the Adek-approved fee structure.

For new schools or branches, the proposed tuition fees and other associated charges must be included in their application for a temporary license with Adek.

When collecting tuition fees, schools are required to record the source of the payment (e.g., from parents, relatives, charitable donations, companies, or scholarships) and report this information to Adek.

In evaluating the appropriateness of the fees for new schools or branches, Adek will consider a comprehensive financial study that includes details on proposed school fees, expected profitability, and both operational and capital expenditures.

Late payment or non-payment of fees

In terms of late payment or non-payment of tuition fees, schools must maintain confidentiality and discretion regarding the issue, ensuring that students are protected from unnecessary attention or embarrassment.

Under no circumstances are schools authorised to communicate the non-payment of fees to students, even as a reason for suspension.

Schools must establish and publish a clear, transparent, and fair policy outlining their approach to non-payment or late payment of fees. This policy should ensure that parents have access to a reasonable and responsible payment system, without the imposition of punitive sanctions.

Actions on late payment or non-payment:

If school fees are late or unpaid, schools should send parents three consecutive warning notices, spaced at least one week apart. After these notices, the school is allowed to suspend the student for up to three days—but only once per term—to address outstanding fees.

If fees remain unpaid, schools can withhold things like examination report cards, transfer certificates, or block the transfer process through eSIS until all fees are cleared.

Schools must notify parents in writing at least three months before the end of the school year if there’s a risk their child won’t be re-enrolled due to unpaid fees.

However, it's important to note that students won’t be prevented from sitting for exams, even if there are outstanding fees.

Protection of fees

School fee refund: During the registration process, schools must provide parents with clear and complete information about fees, refund policies, deadlines for refund requests, and any other relevant details.

Refund of registration fees: If the school is unable to enrol a student due to insufficient capacity or as a result of an Adek-approved "Inability to Accommodate" notification, the school must refund the full registration fee.

Refund for new students: If parents of new students wish to cancel before the academic year begins, they are entitled to a full refund of the registration fee, provided they notify the school in writing at least two weeks before the start of the new academic year.

Retention of registration fees: If a student was enrolled in the previous academic year but does not attend the school in the following year, the school is allowed to retain the registration fee for that student.

Refund of tuition fees: Schools are permitted to retain a portion of the tuition fees paid on behalf of an enrolled student in the following circumstances:

If the student attends part of the first week of the term and then discontinues without written notification from the parents, the school can retain the full registration fee, which is capped at 5 per cent of the annual tuition fee.

If the student attends between one and three weeks of the term, the school may retain the equivalent of one full month's tuition fees.

If the student attends between three and six weeks of the term, the school is authorized to retain the equivalent of two full months of tuition fees.

If the student attends more than six weeks of the term, the school is permitted to retain the full term's tuition fees.

[Editor's note: This policy is effective 2024/25 academic year. Schools are expected to be fully compliant with the policy by the beginning of the 2025/26 academic year.]

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