Inquiry into Financial Education for Vulnerable Young People

The All Party Parliamentary Group on Financial Education for Young Peoplechaired by Justin Tomlinson MP enters 2013 with over a third of MPs now listed as members.

Following on from the inquiries in to Financial Education & the Curriculum and Financial Education in Further Education the group is launching a wide-ranging inquiry in to the provision of financial education for young people considered as vulnerable. The inquiry is seeking evidence across the financial, charitable and education sectors to highlight best practice and establish a sustainable model for teaching finance to young people from disadvantaged backgrounds.

The groups previous inquiries have found financial education to be high-quality but inconsistent, with provision varying hugely across the country. Both reports have recommended that the government include financial education on the National Curriculum.

The inquiry is welcome because disadvantaged young people face specific consumer challenges. One example is illustrated by the changes to disability benefits when the choice of service-provider for care or mobility support is increasingly personalised, effectively giving the individual an employer’s role. For a young person growing up with a disability, tailored financial education is essential to manage their future well-being and independence.

While factors contributing to ‘vulnerability’ are huge and wide-ranging, targeted financial education can be a strategic aid to combat its worst effects. Fiona Bruce MP, Vice Chair of the APPGand chair of the inquiry, said:

“Across the UK young people are entering adulthood into an increasingly unpredictable world; particularly in terms of the financial and employment challenges they face. Many of them find it particularly difficult to cope with these challenges, due to a lack of good financial education; this is particularly so for those from disadvantaged backgrounds. Improving access to financial education for all would contribute to the long term solutions needed to provide a more secure future for the most vulnerable in society.”

The inquiry will consider all responses when putting together its recommendations. You can find out more about the APPG on Financial Education for Young Peopleand the current inquiry hereor get in touch at appg@pfeg.org.