Government to fund debt classes for children
Numerous consumer groups and public sector advisors have banded the prospect of introducing financial management classes into schools for some time. However, it has recently been announced that the Government plans to allocate approximately 12 million pounds towards the education bill, in order to fund the initiative.
As a means to better combat rising consumer debt levels in the UK, the classes will provide students with a real-world understanding of money management and will also teach the detriments that continuous credit acquisition can bring. The agenda is believed to encompass all types of credit management from loans through to credit cards and mortgages, and will also provide children with a thorough grounding in effective budgeting.
Commenting on the announcement, one expert suggested that now was the ideal time for such an initiative to be introduced. He stated that the Governments own wish to give all children a better start to their adult lives, as reflected through the introduction of child trust fund vouchers, would be perfectly complimented by the classes.
Theoretically, when children do approach the age where their fund will have reached maturity, they will be better equipped to manage their finances and will have a better understanding as to how their money should be spent.
It is also hoped that the classes will help to significantly reduce consumer debt over the next decade or so, as recent stats reveal the debt mountain to stand at approximately 1.5 trillion pounds high.
