Question to the Department for Education:

To ask the Secretary of State for Education, what assessment she has made of the potential merits of introducing classes for school leavers to assist with life skills such as budgeting and preparation for work.

Education on financial matters helps to ensure that young people are prepared to manage their money well, make sound financial decisions and know where to seek further information when needed.

Finance education forms part of the citizenship National Curriculum at Key Stages 3 and 4, but can be taught by all schools at all Key Stages. The subject covers the functions and uses of money, the importance of personal budgeting, money management, and managing financial risk. At secondary school, pupils are taught about income and expenditure, credit and debt, insurance, savings and pensions, financial products and services, and how public money is raised and spent.

The secondary mathematics curriculum develops pupils’ understanding in relation to more complex personal finance issues such as calculating loan repayments, interest rates and compound interest.

My right hon. Friend, the Prime Minister, has set out a new mission to ensure all pupils study some form of mathematics to 18, equipping them with the skills they need for the jobs of today and the future. This includes having the knowledge to feel confident with finances in later life, including things like finding the best mortgage deal or savings rate.

The Department works with the Money and Pensions Service (MaPS) and HM Treasury to support the effective teaching of financial education in schools. MaPS has published financial education guidance for primary and secondary schools and the Department will deliver webinars for schools in due course. The MaPS guidance can be found here: https://maps.org.uk/2021/11/11/financial-education-guidance-for-primary-and-secondary-schools-in-england/.

The Department is providing £31 million of funding in 2023/24 to support secondary schools and colleges to deliver high quality careers education and work experience, including the national rollout of Careers Hubs.

The Careers and Enterprise Company (CEC) will ensure that Careers Hubs increase young peoples’ exposure to employers and to more in-depth workplace experiences. These experiences give young people a real feel for work and the knowledge they need to succeed.