Fiona Bruce MP call for action to support the financial education of vulnerable young people
More needs to be done to support the financial education of vulnerable young people outside of mainstream education, according to a report published this week by a group of MPs Chaired by Fiona Bruce MP. The All Party Parliamentary Group (APPG) on Financial Education for Young People reported the findings of a 10-month inquiry into the provision of financial education for vulnerable young people in the UK and how this can contribute to their financial and social inclusion, and improve their life and job prospects.
The inquiry took evidence from charities, education groups and other organisations working with vulnerable young people, as well as a group of young people themselves. Its final report calls on central government, local authorities, financial institutions and other organisations working in this area to do more to support the financial education of vulnerable under-25s.
Fiona Bruce MP, Chair of the APPG Inquiry Financial Education for Vulnerable Young People, said:
“The inclusion of financial education in the National Curriculum for secondary schools, achieved by our All Party Group, has been a big step forward – but it is essential that vulnerable young people outside mainstream education are not left behind. Our inquiry has identified a serious need for more to be done to support the financial education of this group of vulnerable under-25s – and so improve their life chances - and we have outlined specific ways in which this can be achieved.
“We hope that the government, local authorities, financial institutions and other organisations working in this area study our findings and work together to improve provision of these vital life skills to young people in particular need of support.”
Key recommendations include;
For Government
- To enable statutory bodies coming into contact with vulnerable young people, such as Job Centre Plus, the NHS and Youth Courts, to train their staff to be able to help support and signpost them to manage their money
- To promote improved coordination and partnership working between providers of financial education for vulnerable young people across all sectors
For local authorities
- To take responsibility for the development of coordinated local strategies to develop and improve the financial capability of vulnerable young people
- To review the provision of financial education specifically for those in or leaving care and develop an appropriate tailored strategy embedding good practice
For financial institutions
· To provide young people with appropriate advice around managing their money, particularly when an account is first opened or if difficulties become apparent
For organisations working with vulnerable young people
- To ensure that promoting financial capability is embedded in their policies, procedures and practice
- To take opportunities to engage in and promote partnership working and share expertise and good practice
APPG Report Chair Fiona Bruce MP said:
“We need to make sure that everyone receives the benefit of teaching and learning about money – and this is especially true of vulnerable young people, who are at particular risk of financial and social exclusion. This is a crucial further piece of the financial education puzzle.
“In the wake of last month’s confirmation of financial education’s place in the new National Curriculum, we have to keep up the pressure to ensure that all young people – whatever their circumstances – are given the tools they need to manage their money well throughout their lives.”
The APPG on Financial Education for Young People was launched in January 2011 to provide a medium through which MPs, Peers and interested organisations can discuss and encourage the teaching of financial education in schools and colleges. In December 2011 the group published a report of a major inquiry into financial education in primary and secondary schools, which called for financial education to be made a compulsory part of the National Curriculum. The APPG has since conducted a review of financial education provision in the further education sector.
In September it was confirmed that financial education will be taught in secondary schools in England through the new National Curriculum from September 2014
