Parents want children to be taught about money in schools

Many parents want financial education to be taught in schools, as they often struggle to discuss money with their kids.

According to research by Yorkshire Building Society, 89% of parents of school-aged children think pupils should learn about money in the classroom.

On the whole, most parents (91%) would feel confident talking to their child about money management themselves, while many (80%) would be happy talking about saving money.

But lots of parents are less confident when it comes to discussing other financial skills and issues, such as:

• budgeting - 68%
• avoiding debt - 56%
• credit - 43%

Nevertheless, 95% of mums and dads with school-aged children think it’s important for their children to be taught about money.

Financial education in schools ‘should be mandatory’

Since 2014, financial education has been on the national curriculum for local authority-run secondary schools, with the subject covered in citizenship lessons.

But this means academies and free schools can opt out, and financial education isn’t on the curriculum in primary schools at all.

As a result, many young people are growing into adults lacking key financial knowledge.

“We hope that the government will increase the focus on financial education in schools,” said Chris Irwin, director of savings at Yorkshire Building Society.

Making it mandatory for all pupils would, he argued, mean that “no child misses out on developing important life skills”.

Parents rarely discuss money with their children

Just one in four parents talk to their children about money once a week or more, the study found.

And one in ten never discuss it with their kids at all.

That’s despite many being happy to discuss other topics more regularly, such as mental health, healthy eating, alcohol usage, road safety and online safety.

“Parents recognise that financial education is incredibly important,” Mr Irwin said.

“But they are juggling many different priorities when it comes to talking to their children about life skills.”

He added that since most parents “lean on personal experience to teach their children about money”, those from “less financially savvy families could be at a disadvantage”.

Most people who’ve asked for debt advice weren’t taught about money

We recently surveyed people we’ve supported with debt advice and found that 94% didn’t get any financial education when they were younger.

But notably, 80% said they thought it would have made a difference to their situation.

And when asked what particular topics would have helped them manage their money better, 77% said budgeting.

This was followed by understanding what credit and debt is (68%) and how to save money and why it's important (62%).

We agree with YBS that financial education in schools needs to improve, as it can help people manage their money, make informed decisions and plan for a secure future. 

Having a greater understanding of money-related concepts, such as budgeting, saving and debt management, also helps people make better choices and achieve their financial goals. 

And at a time when money-related products seem to be getting more varied and complex, financial literacy is becoming an increasingly crucial skill to possess.