Parents `want schools to teach personal finance`

The majority of parents and teachers feel that youngsters should be taught how to manage their money in school.

A study by the Association of Investment Companies (AIC) has shown that 93 per cent of education providers and parents think that teaching personal finance would be a good idea, while 50 per cent said it should be made compulsory.

Many of the parents who responded to the study said that their decision was influenced by their own financial status, with 65 per cent of respondents stating that they would like some financial education now.

Annabel Brodie-Smith, communications director of the AIC, said: "Parents clearly believe that financial education should be part of the curriculum, even rating it higher than geography, and parents clearly feel they have missed out by not learning the basics."

Among the most important topics to cover as part of financial teaching, respondents said that managing a budget - potentially to avoid bad debt - and a mortgage were vital.

Recent findings by the Post Office suggested that more UK consumers would be relying on credit this year than last.