Now, schools feel like startups: Wealth manager says she won’t send kids to private schools as fees soar

A financial adviser has slammed private schools for raising school fees by 30%.
“I won’t send my kids to an expensive private school,” financial adviser Neha Nagar wrote in a LinkedIn post. “At this rate, are we preparing our kids for school… or are we preparing parents for bankruptcy?” Parents across India are concerned about the sharp increase in tuition fees, and many strive to keep up with the rise in education costs. In cities such as Hyderabad, Bangalore, Delhi and Mumbai, schools require higher payments, sometimes upfront, which increases financial pressure for households that have already dealt with inflation. Recently, in Delhi, parents have protested several times over the fees in schools in recent weeks.

Tuition hiking across cities

Private school fees are not limited to one city. In Hyderabad, some schools have increased their fees by 30% this year. Similar growth has been reported in Bangalore, where parents protested the proposed hikes for the 2025-26 school year. Delhi and Mumbai also see rising complaints from parents about unaffordable education costs.

Average costs continue to rise

Parents across India now pay between Rs 60,000 and Rs 2 lakh per year. Currently estimated at 11-12% education inflation is significantly higher than the general inflation rate in the country.

A Localcircles survey found that 44% of parents charge between 50% and 80% over the past three years. Another 8% of respondents reported higher hikes.

The fee exceeds the tuition fee

Tuition is only part of the financial burden. Parents also pay for uniforms, books, electronic equipment, transportation and extracurricular activities respectively. For example, some schools have a bus fee of Rs 25,000 per year and books can cost Rs 7,000 or more.

Elite and middle-level schools also raise fees

Higher schools in cities such as Gurgaon charge up to Rs 3.46 lakh for senior classes every year, with a one-time entrance fee of Rs 2 lakh. Even for schools with moderate distances, lower classes charge over Rs 60,000 per year, excluding books and assessments.

Impact on enrollment

Cost pressure is shown as number of admissions. Between 2018-19 and 2023-24, 10 million fewer students were admitted. Many families are postponing admissions or opting for more affordable schooling.
Financial consultant Neha Nagar shared her frustration in a LinkedIn article: “I’m not sending my kids to an expensive private school. At this rate, are we preparing for the kids to go to school…or are we preparing for the parents to go bankrupt?”

She added that private schools today “look more like startups than institutions.”