HAMPSHIRE MPs have joined forces to demand a better deal for sixth form colleges, warning they face an unfair “learning tax”.

They are protesting that the colleges – unlike schools or independent academies, which also teach sixth-formers – must pay 20 per cent VAT on all purchases.

The anomaly is thought to cost the average sixth form college £335,000 a year at a time when budgets have already been cut by the coalition government.

A recent survey found that 68 per cent of colleges had dropped courses and 71 per cent had cut drama, music and sport activities because of funding pressures.

Hampshire MPs are urging Education Secretary Nicky Morgan to support a VAT refund scheme – something already enjoyed by schools and academies.

John Denham, Labour MP for Southampton Itchen, said: “Sixth form colleges do a fantastic job but are unfairly treated by the tax system.

“Schools get protected funding, further education colleges don’t pay VAT – sixth form colleges don’t get either benefit.”

Mr Denham is among 76 MPs who have penned a letter to Mrs Morgan. The 76 include fellow Labour MP Alan Whitehead (Southampton Test), Conservatives Caroline Nokes (Romsey and Southampton North) and Steve Brine (Winchester) and Liberal Democrat Mike Thornton (Eastleigh).

The MP also joined the Vice- Principal of Barton Pevril College, Nigel Groves, at a Parliamentary reception to highlight the campaign and celebrate the achievements of sixth form colleges in England.

At present school and academy sixth forms have their VAT costs refunded by the government while sixth form colleges do not. As a result the average sixth form college has to redirect £335,000 of its annual funding away from the frontline education of students to pay VAT.

Nine of England’s 93 sixth form colleges are in Hampshire, where secondary schools have traditionally taught pupils only up to the age of 16. They include Richard Taunton College and Itchen College in Southampton, Barton Peveril College in Eastleigh, Totton College, and Peter Symonds College in Winchester.

Barton Pervril principal Jonathan Prest said: “ VAT costs Barton Peveril nearly £0.5 million per annum. That is a lot of money we could otherwise spend on the education of our students.”

Eastleigh MP Mike Thorton said: “Students are entitled to receive the same level of funding for their education irrespective of the type of institution at which they study. This unfair levy should be scrapped.”

Colleges have also been hit with a 17.5 per cent funding cut for 18 year olds, which triggered protests from Southampton college principals and MPs last year.