Why the Life Skills Network is supporting Financial Capability Week
Apparently, 40% of adults say they are not in control of their finances and a further four in ten have less than £500 in savings. Is there a financial capability crisis in the UK which needs a collective response? Well, it very much looks like it.
That is why the Life Skills Network (LSN) is supporting Financial Capability Week. We believe that if we highlight the need to talk about finances openly, then the whole issue will get better exposure, and the ‘taboo aspect’ of not talking about money will slowly disappear.
At the LSN we think that not being able to talk about money openly is a major reason why so many people are unable to ‘face’ having to deal with money – we believe that better self awareness around the issue of money, and a more holistic idea of how the financial services sector fits in with the rest of the world will lead to money becoming an issue on which people can openly seek guidance when needed, and better manage how they deal with financial issues.
The LSN has been asked to put together a young people’s financial awareness programme for Goa, India. We made a little course which we hope will start off discussions – here is open access to it. It is on the nimble e-learning platform, an option which appealed to our partner in Goa.
In order to do this, we need to start early, and make the vocabulary surrounding money and financial planning much more accessible to everyone – take away the jargon, and explain the systems we have, and show people the basic tools, like budgeting – and how they are used.
Financial Capability Week is designed to highlight the work of organisations involved in financial capability and amplify their messages in order to achieve the large-scale change needed to tackle the stubbornly low level of financial capability in the UK today.
Despite being in its first year, the campaign has the support of more than 250 organisations including names you would expect, but also organisations as diverse as Lewisham Homes and Reading University Students Union.
To improve financial capability, policy makers and organisations working across a broad range of sectors need to work together. The Financial Capability Strategy was developed and based on collective impact – aiming towards a common vision for what needs to be achieved, and gradually building an understanding of what works.
The Strategy will last for ten years and was launched in 2015. It aims to improve people’s ability to manage money well, both day to day and through significant life events, and to handle periods of financial difficulty.
The Life Skills Network has been a strong advocate for teaching young people ‘how the world works’, as a part of its life skills course, and improving financial capability is a big part of that.
We are proud to participate in Financial Capability Week 2016.
We hope that everyone in the Linked in Group P2.0 who focuses on this will consider joining us – together we can help to raise the profile of the excellent initiatives out there already, as well as highlight the gaps that exist.
You can find out more about the campaign and the strategy behind it at www.fincap.org.uk and by following @fincapstrategy