Schools: Financial Education

Lord Hampton Excerpts

Wednesday 31st January 2024 Lords Chamber

[Lord Hampton (CB)]

My Lords, I declare my interest as a state secondary school teacher in design and technology. I join in the thanks to the noble Baroness, Lady Sater, for raising this important topic.

As ever, we are talking about the difference between following the curriculum and educating our children. Nick Gibb has been quoted as describing having “good maths” as the gateway to lifelong financial stability, and pointed out that financial knowledge already forms a compulsory part of the national curriculum in secondary school. However, as has been mentioned, only 41% of young adults are financially literate—whatever that means. I would contend that that figure is much lower in reality.

Core skills in maths need to be taught but we also need to get to a stage where students can learn financial skills—such as how to compare offers in a supermarket, read a simple balance sheet, shop around for a mortgage or fill in a tax return—as well as other vital skills that are either ignored or left for excellent charities such as Young Enterprise to fulfil during those rare PSHE days. At this point, I must declare that Young Enterprise used to be a client of mine when I was a photographer many years ago.

Might it be not only that children could learn some very useful skills but that those skills could perhaps be used in later life for them to start a business, employ people and pay their taxes? In fact, I think that every student who leaves school at 18 should have started at least one business while they were at school. Would that not be fun to learn and teach? Might it inspire students to return to school and teachers to enjoy teaching?