Financial Literacy and Life Skills
Financial Literacy and Life Skills
This thinkpiece explores the current provision of financial literacy in the UK and analyses the teaching of financial education in the four nations. It offers an overview of school curriculums and proposes solutions on how these can be reformed to create a more financially literate society.
The paper also considers alternative pathways to access financial education, such as online learning platforms (e.g. GoHenry, Barclays LifeSkills, Investr etc.) that provide digital programmes to children, young people, and adults. It argues that further development is needed in this area as well, to universally target all people, at all ages and stages of their lives, equipping them with greater confidence and access.
Published:
13 November 2024
Key recommendations include:
Introduce clear and comprehensive financial literacy education in the national curriculum for primary and secondary education, ensuring all pupils receive foundational knowledge in budgeting, saving, investing, and debt management.
Invest in training and resources for educators to effectively deliver financial literacy lessons, including workshops, lesson plans, and online modules, to ensure consistency and quality of instruction across schools.
Develop digital literacy initiatives focused on financial education, teaching individuals how to safely and effectively use digital financial tools, navigate online banking, and protect themselves from cyber threats.
Forge partnerships with banks, credit unions, and financial institutions to provide free or low-cost financial literacy workshops, seminars, and resources to their customers, promoting responsible financial behaviour and consumer empowerment.
Offer tax incentives or subsidies for employers who provide financial education programmes in the workplace, encouraging businesses to invest in the financial well-being of their employees.
Integrate financial education components into welfare programmes and social assistance schemes, empowering recipients with the knowledge and skills to manage their finances independently and break the cycle of poverty.
Enhance and expand the offerings of online platforms to cater to a broader audience beyond children and young people through looking at issues such as pensions, equity release, and life insurance for those exiting the workforce.
Increase community initiatives to help local people participate more easily in their local economies by fostering engagement between councils, educational bodies, and financial institutions to equip people with the knowledge they need.
Recognise the lack of careers education in finance, and raise awareness that pursuing a finance sector career does not have to rely on high mathematics-based qualifications.
Foster meaningful and collaborative dialoguesbetween local governments, central government, financial institutions, educators, and industry to create financial literacy programmes.