Andrea Leadsom, economic secretary to the Treasury, has announced the introduction of savings clubs in primary schools in partnership with credit unions.
She said that research indicated children develop their attitudes towards money long before they reach secondary school age, with the Money Advice Service suggesting that most children have formulated their financial habits by the age of seven.
The ‘LifeSavers’ project, which is led by the Archbishop of Canterbury’s task group on responsible credit and savings, will seek to equip children with good financial habits by educating them about the benefits of saving at an early age.
According to Ms Leadsom, the scheme will involve the whole community and engage the help of teachers, parents and community volunteers.
The project will pilot in six schools in its first year in south-east London, Bradford and Nottingham, before rolling out to up to 100 schools over the next four years.
Ms Leadsom said that at a time when young people are exposed to financial decisions earlier than ever, LifeSavers is a welcome initiative from the Church of England and the credit union movement.
“The project will help to tackle the root cause of money problems and develop good savings habits as early as possible.”
Hector Sants, chairman of the Archbishop’s task group on responsible credit and savings, said: “Understanding how to manage money responsibly is a key factor in living a fulfilled and contented life, and it is vital to help children build this understanding from as early an age as possible.
“The savings clubs will also help promote the development of a larger and more vibrant community finance sector in this country.
Funding for this project totals £150,000.
emma.hughes@ft.com
