Should 'elite' cease to be a dirty word?

Yes

The idea of an academic elite is a fundamental, democratic good and one that we must defend vigorously if British education is to compete seriously on the global stage. The trouble is that the word elite is now heavy with pejorative connotations. Its beginnings were innocuous enough. It came from the Latin eligere, meaning "to elect", and became a noun meaning "the chosen or elected". However, over the years, it has been twisted to mean the exact opposite - an unelected group who claim moral superiority because of their inherited social status.

No

Elitism in education is not to be confused with excellence. Elitism is about privilege: it's about focusing attention on elite groups, and the educational institutions that cater for them, at the expense of the rest. Elitism neglects the education system as a whole and worries primarily about the most able.