Punjab Governor approves private school fee law, caps arbitrary hike at 5%

In a significant step towards curbing arbitrary fee hikes by private schools in Punjab, the governor has given approval for the implementation of “Punjab Regulation of Fee of Unaided Educational Institutions (Amendment) Ordinance, 2026”.

Under the new regulation, no private schools will be allowed to increase fees by more than 5% at its own discretion, Punjab CM Bhagwant Singh Mann said on its official X account.

Moreover, CM Mann also said that institutions which raised fees by more than 15% over the last three years are bound to return the excess amount collected from parents.

The regulation to cap the private school fee in Punjab comes over a month after a Class 12 student in Amritsar died by suicide over alleged harassment of school management for unpaid fees.

Also read UDISE+ 2025-26: SC, OBC enrolment hits 6-year low; over 8,000 govt schools shut in a year as 26 lakh drop out [/Also Read ]

Punjab Regulation of Fee of Unaided Educational Institutions Law

Punjab Chief Minister Bhagwant Singh Mann, announced the approval and said: “The Hon'ble Governor has signed the The Punjab Regulation of Fee of Unaided Educational Institutions (Amendment) Ordinance, 2026," brought by our government to curb the arbitrary fee hikes by private schools.”

“Our government will not allow education to become a business, and we remain fully committed to reducing the financial burden on ordinary families,” he added.

Mann, earlier, had said that the fee rule will not only apply to tuition fees but also to other compulsory charges and funds collected by schools.

Stating that the new law is among the “strictest school fee regulation” and no institution is exempt from it, the chief minister said that schools violating the new private school fee cap rule will face “harsh” punishment, along with the suspension of registration.