Children will be taught how mortgages work in schools from 2028, following an overhaul of England’s current national curriculum.
Pupils will learn about the fundamentals of money, with the Government recognising that “children are now consumers often before they reach secondary school.”
Financial education, which will cover key concepts such as mortgages, budgeting, debt, interest and pensions, will be introduced from Key Stage 1, while stronger provision will be made in secondary schools. As well as being taught about money, there will also be a greater emphasis on how mathematical concepts can be applied to real-life scenarios.
Children will also learn about “fake news” and artificial intelligence as part of the curriculum changes.
The new curriculum will be introduced from September 2028, with the final revised curriculum published by spring 2027 so that schools have time to prepare for the changes.
Bridget Phillipson, Education Secretary, said: “It has been over a decade since the national curriculum was updated, and it’s more crucial than ever that young people are equipped to face the challenges of today, so they can seize the exciting opportunities that life has to offer.”
The Curriculum and Assessment review, which prompted the curriculum shake-up, highlights research from the Money & Pensions Service, which found that despite financial education being compulsory in Citizenship since 2014, only a third of children can remember learning about money at school. Meanwhile, 71% of children aged 7 to 17 already make purchases online, with around two-thirds doing so without any adult supervision.
Stephanie Charman, chief executive at the Association of Mortgage Intermediaries, said: “Too many leave school unprepared for real-world money decisions, from managing credit and student loans to saving for their first home.
“The mortgage industry has been calling for change and has been doing what it can to fill the gap. Many lenders and advice firms have been out in schools helping to build young people’s financial confidence, but this shouldn’t be left to chance.
“Giving young people the tools to understand money is essential for their future and for a financially resilient economy.”
