The risk of schools going bankrupt also rose from 1 to 2.5 percent, according to UC.
“A bankruptcy risk of nearly 2.5 percent is high,” Roland Sigbladh, head of marketing at UC told Dagens Industri.
“The free school sector has a 25 percent higher risk than other publicly listed companies in Sweden.”
In May one of Sweden’s largest free school companies, JB Education, filed for bankruptcy, leaving hundreds of students with the task of finding a new school.
Dagens Industri reports that the country’s free schools are facing tough competition due to demographic changes, and several private equity firms behind the schools are facing financial challenges.