06 November 2023
Research* commissioned by Quilter, the wealth manager and financial adviser, ahead of Talk Money Week, found the vast majority (88%) of UK adults believe that financial education should be taught in schools.
Yet just 12% of parents say that their child has received financial education at school. The majority of parents (33%) did not think that their child had received financial education and did not expect them to in the future with a further 28% not knowing.
However, 19% said that their child had not received financial education yet but did expect them to do so in the future.
Talk Money Week is the annual week which aims to get more people talking about their finances in a bid to improve money management across the UK.
When people were asked at what stage in school financial education should start, 37% said it should be taught in primary school and 51% believed secondary school was the best time to start financial education.
Just 4% thought it should start in sixth form or college with only 2% believing financial education should start at university.
Quilter believes talking about money needs to start from a young age and financial education should be included as part of the primary school curriculum.
Katja Oakley-Bell, financial planning expert at Quilter, says:
“The pandemic and subsequent cost of living crisis has really shone a spotlight on why financial education is so key. Sensible budgeting and planning will mean that some people are much better equipped to deal with both a potential growth in savings during lockdown to then a stretched budget in this higher interest rate environment. While financial education cannot fix these macroeconomic issues it can play a role in helping people make the right decisions that improve their financial outcomes.
“Despite this, financial education remains worryingly absent from the school curriculum. Being financially successful is something we hope everyone can achieve so it makes sense to give children the tools and education to accomplish it.
“We are finally seeing more considered attempts to make financial education a larger part of the school curriculum from both Labour and the Conservatives, but this needs to happen sooner rather than later. The best-case scenario would be for financial education to run throughout a child’s education so that when they leave school, they feel equipped to manage their own money.
“Doing so also makes sense from a policy standpoint too as it will ultimately save the government money and boost the economy if we can tackle the epidemic of under saving and reliance on debt rather than just the symptoms.”.
Leon Ward, CEO, of financial education charity MyBnk adds:
“These findings back up MyBnk’s research funded by Compare the Market which found that 2/5 of young adults are not financially literate and the majority do not remember learning about money in school.
“Research shows that adult money habits start to form from as young as 7 years old, such as delaying spending gratification and planning. That’s why MyBnk delivers financial education to 7-25 year olds, in collaboration with corporate partners like Quilter. We’re also proud to support campaigns like Talk Money Week which encourage open conversations about money and help to build financial confidence.
“Curriculum requirements are key, but MyBnk believes that financial education shouldn’t be confined to school settings. There is an important role for families, friends, charities and employers in building the financial capability of the next generation. And of course, not all children and young people will complete mainstream education. It’s vital to start early, but we should all have the opportunity to continue this learning throughout our lives. MyBnk is poised to help, we have a raft of free resources on our website at mybnk.org.”
