Justin Tomlinson MP speaking at the event
Justin Tomlinson MP today joined representatives from the Money Advice Trust and the UK Cards Association at a panel event at Conservative Party Conference to discuss how best to protect vulnerable consumers from unmanageable debt.
Discussion focused on a 'nudge' approach, citing early intervention as the best way to protect consumers.
Justin said “It is not up to us to judge whether people's financial decisions are right or wrong, good or bad or to legislate to allow or disallow. That is the consumer's decision. It IS up to us to make sure that the consumer understands the consequences of their financial decisions.
“That is why I have been pushing so hard to see all young people given a solid financial education. I set up the All Party Parliamentary Group For Financial Education For Young People that calls for financial education to be compulsory in all schools, which is now the largest in Parliament with 234 cross party MPs signed up.
“By giving all young people the money skills to make informed financial decisions, we are helping them, 'nudging' them, into making savvy decisions, but also making sure that they understand the consequences, whatever they decide.
"With 91% of those who have got into financial difficulty agreeing that had they had financial education, they would have made different decisions, the impact of a relatively simple money education is clear. Indeed, I have seen the effects of such an education first hand. I visited Haydonleigh Primary School in my constituency as part of My Money Week. Their Year 6 had been studying basic financial skills and their strong sense of the importance of saving and the dangers associated with borrowing was really strong. These are the skills we need to equip our young people with from an early age, making sure they are protected in the future.”