learning and teaching scotland background to financial education the scottish centre for financial...

Learning and Teaching Scotland

Background to Financial Education

The Scottish Centre for Financial Educationat


Kenny FergusonFrances McGrane

Liz HeronDevelopment Officers

Financial Education2009


Do we need to do anything?Debt statistics (as at 1st January 2009)

• Average household debt in the UK is £9,600 (excluding mortgages) and £59,670 including mortgages.

• Average owed by every UK adult is £30,420 (including mortgages).

• Average interest paid by each household on their total debt is approximately £3,774 each year. Total interest repayments have soared to £92.1bn

• Average consumer borrowing via credit cards, motor and retail finance deals, overdrafts and unsecured personal loans has risen to £4,893 per average UK adult at the end of November 2008.

• The Debt Collection Industry has quadrupled in size in the past 4 years. The industry now handles £22.7billion worth of debt a year compared to £8.6billion in 2004. Forecast was £24billion by end of 2008.

• Britain's personal debt is increasing by £1 million every 10 minutes (£154m daily increase) and stands at £1.456 trillion (more than the Gross Domestic Product)

• The Citizens’ Advice Bureau say 1 in 5 people come to them because of debt problems (4,760 debt problems every day).

• 124 properties repossessed every daySource : www.creditaction.org.uk


Recent research findings

• Around 74% of people under 35 are in the red, owing up to £10,000 on average, while 20% owe more than £10,000

• 50% of this group have run up debts on credit cards

• 33% have a student loan

• 28% have a bank loan

• 12% owe money on store cards


Evidence?

• Parents wish they had been taught about money at school. Most parents and teachers think personal finance should be taught in schools, according to an industry body.

• The Association of Investment Companies (AIC) said 93% of those surveyed supported such a move, with half believing it should be compulsory.

• Parents ranked personal finance lessons ahead of traditional subjects such as geography, music and religious studies.BBC Website – Friday 18 January 2008


Political imperatives

• Scotland’s world renowned Financial Services Industry employs 108,000 people directly and 100,000 in supporting occupations. However …..

• Parts of Scotland have the worst levels of financial exclusion in the UK

• The Financial Services Authority recognised the need for a step change in schools


FSACreating a Step Change in

SchoolsAttempting to change attitudes and behaviour to help young people with …

• keeping track of finances

• making ends meet

• choosing products

• planning ahead

• being aware of economic and financial issues


Vision

• Assist local authorities, schools and teachers to provide a high quality of financial education for all their learners

• Develop every child’s FINANCIAL CAPABILITY as part of their general education


Our strategy aims to

• encourage schools to develop planned, coherent programmes to meet the needs of all their learners in the context of Curriculum for Excellence

• develop the skills and confidence of teachers in financial education

• help schools embed financial education into the curriculum

• produce examples of good practice and disseminate them


Key partners• Scottish Government• Financial Services Authority• The Royal Bank of Scotland• Halifax Bank of Scotland• Clydesdale Bank• Stirling Park• Prudential• Standard Life• Credit Unions


‘Money’ Outcomes within NumeracyI understand the costs, benefits and risks of using bank cards to purchase goods or obtain cash and realise that budgeting is important.

Money - Second level

I can discuss and illustrate the facts I need to consider when determining what I can afford, in order to manage credit and debt and lead a responsible lifestyle.

Money – Fourth Level

I can source, compare and contrast different financial products, services and contracts and explain which offer best value to me.

Money – Third Level

I can manage money, compare costs from different retailers, and determine what I can afford to buy

Money – Second level


What is financial capability?

Financial capability can be regarded as encompassing 4 essential aspects that are mutually supportive and interconnected:• financial understanding

• financial competence

• financial responsibility

• financial enterprise


Financial understandingThe nature and role of money in society, including

• foreign currency

• sources of income

• taxation, spending, saving and investment

• credit and debt

• financial services/products and advisory services

• consumer rights, responsibilities and protection

• the impact of advertising, ICT and the media.


Financial competence

• keep financial records

• analyse financial information

• assess value for money

• prepare and use budgets

• make informed financial decisions


Financial responsibility

• take increasing responsibility for making decisions with respect to themselves

• analyse the potential impact of financial decisions made by others on society and the environment both locally and globally

• analyse the potential impact of their financial decisions on other people and the environment both locally and globally


Financial enterprise

• evaluate potential risks and returns

• use financial and other resources in an innovative and confident manner

• apply knowledge and skills creatively in a range of situations


Resources for primary schools

• Money Week

• On The Money

• Talk Money, Talk Solutions

• Money Counts

• Making Sense of Money

• Primary Credit Union Support Pack

• Museum on the Mound (Minted)

• Child Trust Fund information


• Talk Money, Talk Maths

• Adding Up To A Lifetime

• Mon£ySense (RBS)

• Stewart Ivory Foundation

• Financial Education Partnership

• Switched On

• $ma££ Chang€ : Bannerman High School $ma££ Chang€ : Bannerman High School dvddvd

• Tackling Debt : a positive approachTackling Debt : a positive approach

Resources for secondary schools


Questions to consider

• What Financial Education is already happening in your school?

• What is the experience of the children in your school with regard to money, financial exclusion, family and/or cultural expectations?


Curriculum for Excellence

7 Principles

• Challenge & enjoyment

• Breadth• Progression• Depth• Personalisation

& Choice• Coherence• Relevance

8 CurriculumAreas

• Health & Wellbeing

Languages Mathematics Science Social Studies Expressive Arts Technologies Religious & Moral

Education

3 Areas of whole staff responsibility

Literacy, Numeracy, Health and Wellbeing

4 Cross cutting themes

Sustainability, Enterprise, Creativity and Citizenship

4 Values

• Wisdom• Justice• Compassion• Integrity

4 Purposes

• Successful learners• Confident individuals• Responsible citizens• Effective contributors


The Scottish Education WeaveVALUES

Wisdom – Justice – Compassion - Integrity

PurposesSuccessful Learners – Confident Individuals – Responsible Citizens – Effective Contributors

Principles for Curriculum DesignChallenge & Enjoyment – Breadth – Progression – Depth – Personalisation & Choice – Coherence - Relevance

Focus for LearningTo Do – To Know & Understand – To be

Assessment is for Learning Tracking and Monitoring

Context for LearningEthos & Life of the school – Curriculum areas & subjects – Interdisciplinary projects – Opp.for personal Achievement

Early First Second Third Fourth

PedagogyRange of learning & teaching methodologies – collaborative, critical thinking, rich task, cooperative

Themes Citizenship – Enterprise – Creativity – Sustainable Development

Skills for Learning – Skills for Work – Skills for Life 2008 Literacy – Numeracy – Aspects of Health & Well Being

Curriculum Areas

Health & Well Being – Language-Mathematics-Social Subjects-Sciences-Technology-Exp Arts- RME


‘Money’ Outcomes within NumeracyI understand the costs, benefits and risks of using bank cards to purchase goods or obtain cash and realise that budgeting is important.

Money - Second level

I can discuss and illustrate the facts I need to consider when determining what I can afford, in order to manage credit and debt and lead a responsible lifestyle.

Money – Fourth Level

I can source, compare and contrast different financial products, services and contracts and explain which offer best value to me.

Money – Third Level

I can manage money, compare costs from different retailers, and determine what I can afford to buy

Money – Second level


Building the Curriculum 3A Framework for Learning and Teaching

Experiences and Outcomes (draft)

• ‘Experiences’ set expectations for the kinds of activities which will promote learning and development

• ‘Outcomes’ set out what the child or young person will be able to explain, apply or demonstrate

• All are designed to encourage a range of effective learning and teaching approaches.


Curriculum for ExcellenceArea/Line of development(One of 3)

Themes(Showing

1 / 20)Line of Progression

(Teaching) Stages

Learning Outcomes(to be unpacked!)

Learning OutcomesReference

Line of Progression


Early Years

• I am developing my awareness of how money is used and can recognise and use a range of coins.

MNU 004K


First Level

• I can use money to pay for items and can work out how much change I should receive.

MNU 107K

• I have investigated how different combinations of coins and notes can be used to pay for goods or be given in change.

MNU 108K


Second Level

• I can manage money, compare costs from different retailers, and determine what I can afford to buy. MNU 211K

• I understand the costs, benefits and risks of using bank cards to purchase goods or obtain cash and realise that budgeting is important.

MNU 212K

• I can use the terms profit and loss in buying and selling activities and can make simple calculations for this. MNU 213K


Third Level

• I can source, compare and contrast different financial products, services and contracts and explain which offer best value to me.

MNU 312K

• I can budget effectively, making use of technology and other methods, to manage money and plan for future expenses. MNU 313K


Fourth Level• I can discuss and illustrate the facts I need to

consider when determining what I can afford, in order to manage credit and debt and lead a responsible lifestyle. MNU 409K

• I can source information on earnings and deductions and use it when making calculations to determine net income. MNU 410K

• I can research, compare and contrast a range of personal finance products and after making calculations, explain my preferred choices.

MNU 411K


Understanding the coding used in Outcomes and

ExperiencesFor example, MNU 313K M stands for MATHEMATICS

NU stands for NUMERACY

3 tells you this outcome is at the THIRD LEVEL

13 tells you that this is the 13th outcome at this level

K tells you that this outcome is in the MONEY strand within Numeracy and there is progression across K


How to remember the new levels as they apply to the stages of school … as a

general rule!Hopefully you are familiar with the numbers 1 4 7 1 ….EARLY level applies to Nursery and Primary 1 … hence 1

FIRST level applies to Primary 2, 3 & 4 … hence 4

SECOND level applies to Primary 5, 6 & 7 … hence 7

THIRD and FOURTH levels in Secondary 1 to S3… hence 1

FOURTH level broadly equates to SCQF level 4

SENIOR level applies in S4 – S6 …


Curriculum for ExcellenceSocial Studies outcomes and experiences

Outcome and ExperienceIn a real or imaginary shopping environment, I can work out the amount of money I need to buy items, understanding that I may not be able to afford the items I want

SOC 119S

Core knowledge might includeUnderstand that we get money for work.Understand that we have to pay for what we buy.Recognise all coins and begin to use ‘£’ and ‘p’ notation.Know how to add, subtract, multiply and divide using coins mentally and in written form.Understand and interpret information to compare/recognise value for money.Find totals, give change and work out coins needed to pay.Recognise different methods of payment.

SkillsMental strategiesProblem solving and presenting solutionsUsing appropriate ICTCommunication skillsCollaborationEstimationRecordingComparing costs/prices

Suggested Learning and Teaching ActivitiesExploring and developing a range of mental strategiesPractical interactive activities, e.g. class shopVisit to local High Street shopsRhymes ; role playCatalogues/Internet - comparison of prices/delivery chargesCircle time – choosing/taking turns of type of shop to have in the classroomPE - games involving children pretending to be coins‘Bury’ coins and use metal detectors to find themBags of coins from various countries, including historical coins, to be sorted.

ResourcesCoinsEverything required to set up a shop, e.g. till, coins, shelves, price tagsCalculatorsVocabulary: wants, needs, coins, buy, sell, spent, total, how much/how many, amount, cost, value, compare, currency


Curriculum for ExcellenceSocial Studies outcomes and experiences

Outcome and ExperienceIn a real or imaginary shopping environment, I can work out the amount of money I need to buy items, understanding that I may not be able to afford the items I wantSOC 119S

Contexts for Learning:School shopWalk to local High StreetPeople we come in contact withContexts relevant to the pupils and their home environment, e.g. receipts, delivery charges, keeping money safeInternet – to purchase best value, to check total costs including delivery charges, special offers, securityPlanning ahead to buy things we want/needSaving up for things – possibly setting up school bank

Inter-disciplinary /Cross-curricular links: Enterprise: skills needed to be a shopkeeperGeography: My town, shops, maps, - planning tripsLanguage Talking/ Listening/Reading/WritingDrama: Role-play as shopkeepersICT: print labels for role-play prices ; use calculators/tills ; safe use of internet

Other related outcomes:Establishing links with people/organizations in the local communityAn appreciation of the benefits of savingBuilding on the principles of AifLI can use money to pay for items and can work out how much change I should receive. MNU 107KI have investigated how different combinations of coins and notes can be used to pay for goods or be given in change. MNU 108KI can manage money, compare costs from different retailers, and determine what I can afford to buy.MNU211K


Curriculum for ExcellenceNumeracy experiences and outcomes

Outcome

I understand the costs, benefits and risks of using bank cards to purchase goods or obtain cash and realize that budgeting is important.

MNU 212K

Core knowledge might include What is interest and why do we have

it Differentiate between debit and credit

cards What makes coins the most

successful form of currency Safety and security of “money”, coins,

plastic Definition of money ; place of plastic

cards within this definition

Skills Investigate/

compare credit/store cards

ICT - fraud Observing,

recording and reporting

Discussion and debate

Planning and reviewing investigation strategies

Suggested Learning and Teaching Activities WIM (What is Money) Activity (HBOS) Discuss with bank employees responsibilities of using bank cards

– what gives bank cards their value ? Prepare reports on different types of borrowing Consider weekly expenditure (bus fares, school lunches, tuck) Compare fraudulent bank notes/fraudulent use of bank cards Handling money/credit cards - and discussion Discussion about when and why using a credit card is beneficial

(abroad) Role play - bank teller - shopper

Resources HBOS artefacts

(session 1) Colossal cards Globe – credit

card in session 3 and 4

Calculators Bank – resources Banks – making

them


Curriculum for ExcellenceNumeracy outcomes and experiences

Outcome and Experience

I can source, compare and contrast different financial products, services and contracts and explain which offer best value for me.

MNU 312K

Core knowledge might include

Understand that there are different types of bank accountsUnderstand that loans, credit, debit and store cards are availableUnderstand that many financial transactions involve simple interest, or compound interest and that these interest rates varyUnderstand that there are many products/contracts available at different prices and money can be saved by shopping aroundUnderstand how comparisons can be made using traditional methods as well as ICT

Skills

Sourcing informationPrioritising importance of dataNumerical calculationsComparing options and justifying choicesCritical thinkingAnalysing a situation Planning and organising, considering a proposed strategyCritically drawing conclusions for application in future tasksCommunicating findingsUsing appropriate ICT

Suggested Learning and Teaching Activities

compare cash and credit pricescalculate and compare the costs of different holidayscalculate and compare the costs of various home improvementsprepare reports on different types of borrowing.Education Industry Links – Moneysense (RBS) ; FEP (CIoBiS) ; Stewart Ivory FoundationInternet researchVisits

Resources

Talk Money, Talk MathsAdding up to a LifetimeMoneySenseFEPStewart Ivory Foundation


Curriculum for ExcellenceNumeracy outcomes and experiences

Outcome and Experience

I can source, compare and contrast different financial products, services and contracts and explain which offer best value for me.MNU 312K

Contexts for Learning might include:

Various bank accountsCards - debit, credit, storeMobile phone contractsPay TV and Pay-per-viewHealth clubs and other monthly/annual subscriptionsWeekly/monthly/annual bus and rail ticketsPhone and broadband contractsCar loans and other borrowing optionsChoosing a holiday packagePlanning a journey and evaluating options

Other related outcomes:

I can identify essential goods and services, discuss the different ways available to pay for them, considering the benefits and risks of each method. SOC 222S

Having identified different sources of income and items of expenditure, I can consider the necessity for budgeting and explore ways to manage finance, considering possible investment opportunities or borrowing needs. SOC 325S

Inter-disciplinary /Cross-curricular links:

Mathematics/NumeracyLiteracy Health and Well-beingEnterpriseCitizenshipPersonal and Social EducationHome Economics/Food & Health TechnologySocial and Vocational SkillsBusiness Education


ContactsFrances McGrane, Development [email protected] 854 1582

Kenny Ferguson, Development [email protected] 854 1576

Liz Heron, Development [email protected] 264 3804

learning and teaching scotland background to financial education the scottish centre for financial...

Documents

teaching scotland background

teaching scotland vision

teaching scotland fsa

teaching scotland evidence

parts of scotland

average household debt

financial issues

debt problems