British youth afraid of money

Friday, 11 November 2005 12:00

A large number of young Britons are afraid of "crucial" money management tasks.

According to a survey by Barclays, almost one 16 to 24-year-old in three (29 per cent) could not prepare or manage a weekly budget, with almost half (47 per cent) not knowing how to apply for benefits.

"This research clearly indicates that we still have a long way to go when it comes to teaching young people how to manage their finances, and giving them the 'cash confidence' needed for their next steps in life; whether it be study, employment or training," said Peter Kelly, head of financial inclusion for Barclays.

The bank also uncovered that two young Brits in three do not know about the Entry to Employment programme and 58 per cent are unaware of the Help with Health Costs allowance.

But while they are unaware of theses schemes, Barclays finds that many could be eligible for benefits including almost £2,000 in Working and Child Tax Credits, or up to £1,500 in Education Maintenance Allowance or Jobseekers Allowance.

Mr Kelly added: "Although the research indicated that almost one quarter (21 per cent) registered staying out of debt or getting into money trouble as the most important to them at this stage in life, the realities were that very few actually knew how to avoid this happening and only 38 per cent were able to name any sources of support, advice or resources available.

"We are particularly concerned about those young people who are not aware of the full range of benefits and allowances available to them when starting out or if they are in disadvantaged circumstances."

To try to address this, Barclays has developed MoneySkills and moneychoices - resource packages available for youth workers and advice agencies.

They are available free here.

• Tags:
• cost of living general issues
,
• household
,
• news
,
• tax
,
• tax credits