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'More to avoiding debt than teaching kids maths', charity says
01/09/2008 17:05:00
Combining maths and financial education in schools does not equip pupils with the necessary skills to avoid falling into debt, a charity says.
The ifs School of Finance quotes an Ofsted report published earlier this year, which states the current system – of combining personal finance education with maths lessons – has strong "shortcomings".
It claims the focus is only numerical and uses finance exclusively as a context to apply mathematical skills, meaning children are not being taught essential skills which can keep them from falling into debt or difficulties with money.
The head of financial capability at the ifs School of Finance Rod McKee believes financial capability as a subject should be focussed on behaviour and not numeracy.
He says: "This [the subject] involves understanding how to prioritise, knowing what products do and comparing them, making choices and being able to undertake key financial decisions that affect everybody's daily lives."
Earlier this week, an analyst at Moneyfacts.co.uk said parents need to teach their children the basics of managing money in order to prevent them falling into financial problems such as debt.
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