HomePEOPLEPunjab CM Bhagwant Mann Announces Crackdown on Arbitrary School Fee Hikes, Refunds...

Punjab CM Bhagwant Mann Announces Crackdown on Arbitrary School Fee Hikes, Refunds and Penalties on Cards

CM Bhagwant Mann announced a new ordinance capping annual private school fee hikes at 5%, mandating refunds where increases exceeded 15% over three years, and prescribing fines up to ₹1 lakh and derecognition for repeat violations, benefiting 32 lakh students.

Bhagwant Mann: The Punjab government has passed an ordinance to control the fees of private schools, capping the annual increase at 5 per cent. Chief Minister Bhagwant Mann said the step is aimed at giving huge relief to more than 32 lakh parents across the state whose children are studying in private unaided institutions.

Collection of Excess Fees Must Be Refunded

Schools which have increased fees by more than 15 per cent in the last three years will now have to refund the excess amount charged from the parents. The Punjab Regulation of Fees of Unaided Educational Institutions (Amendment) Ordinance, 2026, as it is officially called, also includes all charges like transport and building fees under the tuition fees, closing a loophole that schools have used to bypass the fee caps.

Forensic Audit to be conducted, fee records to be uploaded

Regulatory committees will scrutinise fee hikes, and schools must upload their fee records online, the Chief Minister said. All private schools have been directed to upload their fee record of the last four years on a designated portal within the next 10 days. The process is being monitored by regulatory committees headed by the Deputy Commissioners. A forensic audit will also be conducted to check the actual fees collected by institutions through any mode of payment.

Strict penalties for non-compliance

The schools that flout the rules will be fined ₹50,000 for the first offence and ₹1 lakh for the second offence, while a third violation will lead to cancellation of the school’s recognition along with other stern action to protect student interests.

Scope and Assent of the Governor

Bhagwant Mann: The ordinance was given formal assent by Governor Gulab Chand Kataria on July 13, 2026, a big step for families across the state. Now, any school that wants to raise fees above the 5 per cent ceiling will have to obtain the prior approval of the regulatory authority.

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