RBS blamed for 'completely unnecessary' school closure

AN ACADEMIC at Sheffield University has described the closure of a private girls’ school in the city as a “rare and completely unnecessary” event forced by the Royal Bank of Scotland.

Brantwood Independent School for Girls in Nether Edge will shut today after RBS pulled the plug on its finances.

The school had loans with RBS secured against the value of the school building and grounds – initially estimated at 1m.

However, RBS then produced a valuation of its own, for 600,000, and said it wouldn’t lend the school any more than that. Brantwood’s governors then said they had no option but to close the school, giving staff and pupils just nine days’ notice.

Academic Dr John Wilson said: “RBS’s low 600,000 valuation of Brantwood School is...not confirmed by research among Sheffield estate agents.

“In all my educational research I have never come across a school which has been closed at such short notice.

“This is a double whammy by RBS, firstly they contribute to the near financial collapse of the world’s banking system and then foreclose on the school which could have continued to educate the pupils until the summer.”

A spokesman for RBS said the decision to close Brantwood had been taken by the governors, not the bank, and it “would be irresponsible to risk further losses to a business which isn't viable”.