A lack of education is the prime cause for the UK’s “live for the day” attitude towards financial planning, ifs University College has said.
Responding to a report released by Citizens Advice, which reveals that one in four people do not think beyond the next day when considering their personal finances, the charity has said that widening access to financial capability programmes will be crucial to tackling these long-term problems.
Alison Pask, Vice Principal at ifs University College, said:
“While the preventative measures and targeted action plans identified in this report to solve problems relating to debt are very welcome, serious consideration also needs to be given to how we can foster a culture whereby long-term financial planning is considered the norm.
“Sadly though, with up to 70 per cent of students leaving school each year without ever having had a lesson on money management or covering financial planning, this report presents a familiar, if grim, picture of the real consequences of the current status quo.
“Now that financial education is in the National Curriculum we hope that through a combined effort by likeminded organisations, including the work of the APPG into financial education for young people, we can ensure that it leads to effective outcomes that serve consumers’ needs in the long-term.”
For more information on financial education, please visit: www.ifslearning.ac.uk/financial-capability