Half of young Brits want more financial education from banks
Thursday 27th October 2016
• 50% of 16-24 year olds voted financial education of young people as the initiative that most people want banks to invest in
• New research showcases the urgent need to help young people understand borrowing jargon, taxes and bank accounts
• Youth charities UK Youth and The Mix join forces with funding from Lloyds Banking Group to respond to this call with new Money for Life programme
• Ashley Banjo and Dina Asher- Smith amongst celebrities who showcase their support for Money for Life
The financial education of young people is voted the initiative that most people want banks to invest in. New research by YouGov, commissioned by Lloyds Banking Group, identified that 45% of the population, increasing to half (50%) of 16-24 year olds, selected this as the initiative that they would most like to see put in place by banks. Supporting this sentiment, almost three quarters of MPs surveyed also agreed this was the key priority (71%).
Recent research by think-tank Demos, which was revealed at a series of roundtable events commissioned by Lloyds Banking Group, also reinforces the need for financial capability education, particularly at key life stages. Young people transitioning into independent living is one of those critical life stages when they need support as they face real financial responsibility for the first time.
In recognition of this, Money for Life, a three-year practical financial advice programme for young people, has launched today to inspire a generation to make the most of their money. The innovative new programme, delivered by UK Youth in partnership with The Mix, is a refreshed version of Lloyds Banking Group’s previous award-winning Money for Life programme.
From empowering young people to feel confident and start talking openly about money to providing high-quality training and crucial support systems; Money for Life equips 16-25 year olds across the UK with the knowledge, life skills and provision needed to manage their money.
The three year programme hopes to address the findings from the recent YouGov survey that showed young people asked for advice:
• Helping me to understand jargon around borrowing (28%)
• Helping me to understand taxes (27%)
• Helping me to understand different types of bank accounts available to me (27%)
• Providing good practice tips/ ideas for making my money go further (27%)
• Helping me to understand different savings products/ options (26%)
• How to keep track of spending (19%)
• Helping me to plan for retirement (18%)
• Teaching me how to compile a household budget (14%)
The refreshed Money for Life programme comprises of a new online resource hub, where young people can find expert money advice, online training, supportive forums and a crisis helpline. The programme also offers face-to-face peer education training to provide practical Money Masterclasses to young people across the UK. Finally a new savings app will launch next month that offers various tools to support financial education.
The programme, which was co-created with young people, has already received support from various celebrities, including: Ashley Banjo (Diversity), Trevor Nelson (BBC Radio 1 & 2), Dina Asher-Smith (Rio 2016 medalist), and JJ Hamblett (Union J). The well-known faces appear in a new video campaign released today on @MoneyForLifeUK’s social media channels.
Ashley Banjo, lead dancer of Diversity, said: “I would have loved for there to have been a rule book or a guide to say to me ‘this is the way to look after your money’, so when I started to achieve success in my career I was ready for it. Money for Life is a great way to make the most of your money, whether you’re starting out or you’re already on your own career path.”
David Rowsell, Head of the Money for Life Programme at Lloyds Banking Group, said: “Encouraging young people to enhance their money management skills through the Money for Life programme is core to our vision to help Britain prosper. Through working with UK Youth and The Mix we are confident that we will be able to make even more of a difference to the financial literacy of young people and communities across the UK.”
Anna Smee, CEO, UK Youth, said: "The recent YouGov and Demos research showcases a real need for programmes like Money for Life. Among many findings, the Demos research demonstrated the important role of third-sector organisations to help engage people who are financially excluded and would otherwise be hard to reach.
“This exciting three year programme between UK Youth, The Mix and Lloyds Banking Group will enable us to engage thousands of young people across the UK and empower them with good money management skills while supporting them across their social development journey to help them positively transition into adulthood. By putting young people at the heart of the programme’s design and delivery, Money for Life delivers inspiring on and offline activities to develop confidence and skills around financial management.”
Money for Life is one of several flagship programmes which contribute to Lloyds Banking Group’s ambition to help Britain prosper – focusing on the social and economic issues which the Group is best placed to help address.
For more information about Money for Life, visit: www.moneyforlife.org.uk and @MoneyForLifeUK on Facebook, Twitter and Instagram.