In 2000, Scher suffered ill health and stepped down during her recovery period. Scher was never reinstated as head of the theatre, despite a vociferous campaign led by her and her supporters, The Friends of Anna Scher. In 2005, the remaining staff and board set up a new school but Anna Scher went on to continue her theatre school under her own name at the nearby Blessed Sacrament Church Hall, Islington. Since 2009, the Anna Scher Theatre has been teaching from the St Silas Church in Islington and classes are run 3 days a week by Anna Scher and former pupil Bernie Burdis, who together have taught for over 30 years.