The 1980 Education Act by the Conservatives here in the UK introduced something quite similar, as I've mentioned above, the Assisted Places Scheme in which children who's parents could not afford to go to fee-paying private schools were granted, on a one by one basis, free or subsidised education if they passed the entrance examination. It changed most private schools from being exclusive to inclusive, accepting children based on merit and ability and not solely on how much money their parents had. My own family made use of the APS and I was began my secondary education under the scheme a year before it was withdrawn (I started in 1996)
The change in my own school was dramatic in the years that followed me. The bright, but working class kids were no longer able to afford to attend and the rich, but dim kids flooded back (which caused the schools overall examination results to dip)
Labour claimed it was an 'elitist' waste of public funds; for some reason equating intelligence, ability and the will to work with 'elitism' (not that it stopped certain former cabinet ministers and big party figures who voted for it's abolition from sending their kids to private schools because they could afford to..
)