All Party Group findings on Financial Education: A Missed Opportunity says the ifs School of Finance

Monday, December 12, 2011

by: Matt Beasley

The ifs School of Finance, a leading financial education charity, believes the All Party Parliamentary Group’s (APPG) report on financial education has missed an important opportunity to influence in a tangible way efforts to reduce financial illiteracy in the UK.

The report concludes that financial education is best taught as part of Maths and PSHE (Personal, Social and Health Education). There is no evidence to support this and, says the ifs, there is a large body of solid evidence that contradicts this assertion.

This evidence was put before the APPG and the ifs says it is disappointing that the APPG has ignored it, opting instead for the soft option of effectively endorsing the status quo which is failing school and college students. 

The ifs School of Finance, the only specialist provider of GCSE, AS and A level equivalent qualifications in personal finance and financial studies in the UK, believes that financial education is best taught as a stand-alone subject, with independent assessment and age-appropriate material. 

If it is incorporated into Maths or PSHE, the subject can be given little more than lip-service with little time devoted to it and even less assessment.

Rod McKee, Vice Principal Financial Capability at the ifs said:

"Whilst I’m pleased that the importance of financial education is now being recognised, I can’t help but feel that the all-party group has missed the opportunity to make a real difference to the lives and financial well-being of today’s teenagers.

Increasingly, school and college students need to make complex financial decisions, whether that be opening a bank account, choosing a mobile phone tariff or saving for higher education.  This is why financial education in schools is so important and why all teenagers should be given the option of studying financial capability in a formal, dedicated and structured manner.  Leaving this to a bit-part in Maths or PHSE is leaving their financial education to chance."

The ifs School of Finance is a registered charity, incorporated by Royal Charter, with more than 130 years experience in delivering financial education.  Since 2006 over 100,000 teenagers have taken ifs qualifications in personal finance and financial studies.

ENDS

Notes to editors:

ifs School of Finance

The ifs School of Finance is a registered educational charity incorporated by Royal Charter. It has a remit to provide the financial services industry with a skilled, effective and competent workforce whilst also promoting a better understanding of finance amongst consumers.

The ifs is the only educational body with a specific focus on finance that has the power to award its own degrees. Its formal qualifications range from GCSE and A Level equivalents for the 14–19 age group, to Degree and Masters programmes for financial professionals. The ifs also offers professional development, competence maintenance and executive education programmes through its alumni membership services.

Please ensure the letters “ifs” appear only in lower case to avoid confusion with the Institute for Fiscal Studies (often referred to as the “ifs”) with whom we have no association.

For further information, please contact Mr Matt Beasley (Media Relations Manager at the ifs School of Finance) on 020 7444 7103 or e-mail mbeasley@ifslearning.ac.uk

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