Evidence[edit]
Emails showed that the schools were routinely swapping information about their costs and intended fee changes, as often as four to six times a year as part of a Sevenoaks' Survey. The investigation was prompted by the September 2003 leak of emails to The Times by two Winchester College pupils.[3] Sent by Bill Organ, Winchester College's bursar at the time, to the Warden of the college, they contained details of 20 schools' fees and the phrase: "Confidential please, so we aren’t accused of being a cartel".
Arguments in support of the schools[edit]
The Independent Schools Council felt that the action was disproportionate. It was argued that sharing information was common amongst charities (as the schools are classified) and that the aim was to keep fees as low as practicably possible. Until 2000, when the Competition Act 1998 displaced the Restrictive Trade Practices Act 1976, the practice was lawful, as the schools were exempt from the anti-cartel laws that applied to businesses.
Jean Scott, the head of the Independent Schools Council, said that independent schools had always been exempt from anti-cartel rules applied to business, were following a long-established procedure in sharing the information with each other, and that they were unaware of the change to the law (on which they had not been consulted). She wrote to John Vickers, the OFT director-general, saying, "They are not a group of businessmen meeting behind closed doors to fix the price of their products to the disadvantage of the consumer. They are schools that have quite openly continued to follow a long-established practice because they were unaware that the law had changed."[4]
Jonathan Shephard, Chief Executive of the ISC, stated: "This is a Kafkaesque situation... the law seems to have changed without Parliament realising – and without the independent sector being consulted – contrary to the government's own strict guidelines on consultation. Schools are now being held liable for breaking a law which no-one knew applied to them". He added: "The OFT's broad assertion that sharing information produced higher fees is highly contentious."[2]