Government Introduces New School Fees Policy, All to be Collected by URA

The Government of Uganda has announced a major reform in the management of school fees for public educational institutions, effective July 1st as all school fees and related charges will be collected through a consolidated fund managed by the Uganda Revenue Authority (URA).

For decades, leading public schools such as King’s College Budo, Gayaza High School, Busoga College Mwiri, and Ntare School have independently managed school fees, with some charging amounts higher than private institutions, despite receiving government subsidies.

However, concerns over financial mismanagement have prompted the government to take action. Reports indicate that:

• Some schools have accumulated substantial debts, putting their operations at risk.
• Headteachers have sold school property, including land, to clear outstanding loans.
• Many institutions have failed to properly account for funds collected from parents.

To improve accountability and financial discipline, the government has introduced this reform as part of the National Development Plan (NDP) IV, set to take effect in the 2025/2026 financial year.

How Will It Work?

The new policy applies to all government-aided schools that charge fees outside of the Universal Primary Education (UPE) and Universal Secondary Education (USE) programs.

• Parents will remit school fees directly to URA using a Payment Reference Number (PRN) through banks or mobile money services.
• Public schools will be required to submit annual budgets that will be integrated into the national budget.
• Funds will then be disbursed quarterly based on the approved budgets.

Impact on Public Schools

The policy is expected to affect over 12,595 government-owned primary schools and 1,444 secondary schools nationwide.

• 200 top public schools, including Mengo Senior School, Kibuli Secondary School, Makerere College School, St. Mary’s College Kisubi, and Maryhill High School, currently charge fees ranging from UGX 2.3 million to UGX 3 million per term.
• At an average of UGX 1 million per student per term, public schools collectively collect between UGX 400 billion and UGX 1.2 trillion annually.

The government believes this policy will streamline school finances, improve accountability, and align with Uganda Vision 2040. However, some education stakeholders have raised concerns about the practical implementation and whether schools will receive timely funds for smooth operations.