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Crackdown on private schools: Punjab Govt caps annual fee hike at 5 %, orders refund of excess fees over last 3 years

Under a new law being brought by the government, schools will be permitted to raise fees by a maximum of 5% annually.

Reported by:  PTC News Desk  Edited by:  Jasleen Kaur Gulati -- June 03rd 2026 04:12 PM
Crackdown on private schools: Punjab Govt caps annual fee hike at 5 %, orders refund of excess fees over last 3 years

Crackdown on private schools: Punjab Govt caps annual fee hike at 5 %, orders refund of excess fees over last 3 years

PTC News Desk: The Punjab Government is all set to introduce strict regulation to cap the  arbitrary school fees hike in order to prevent unfair practices. 


All schools that have increased their fees by over five per cent in the past three years (five percent each year) will now have to refund the increased fee if it is above the five percent hike allowed by the state government.

Addressing a press conference at the Chief Minister's residence in Chandigarh on Wednesday, Punjab Chief Minister Bhagwant Mann announced that private schools will no longer be allowed to increase fees at will. Under a new law being brought by the government, schools will be permitted to raise fees by a maximum of 5% annually.

The Chief Minister also said that schools will not be allowed to force parents to purchase books, uniforms, or other items from specific shops. Schools will be required to provide all relevant information to parents in advance and cannot impose such restrictions.

CM Mann further announced that schools which have increased fees by more than 15% over the past three years will be required to refund the excess amount collected from parents.

The government plans to introduce a strict law on the matter, which will be presented during the upcoming Assembly session. The new rules will apply to all types of fees charged by private schools. Mann said the decision was taken following the reported suicide of a Class 12 student in Amritsar, allegedly linked to the family's inability to pay school fees.

He added that all complaints regarding fee hikes received by District Education Officer (DEO) offices will be investigated, and action will be taken against schools if any violations are found.

The Chief Minister clarified that the proposed law will apply to all schools in Punjab, including national and international institutions. An ordinance is expected within the next few days, followed by legislation during the Monsoon Session of the Punjab Assembly.

Mann also announced that private schools will undergo annual audits to ensure compliance. He said the government is preparing a comprehensive law with input from experts from various fields to create a robust regulatory framework.

The proposed changes will amend the Punjab Regulation of Fee of Unaided Educational Institutions Act, 2026.

- PTC NEWS

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