Starting money lessons early is just the first step

It is often argued that the National Curriculum is very full and that it is hard to “create space” for new topics to be included. So, while as a nation we may also be increasingly conscious of our lack of prowess in languages – a skills gap that will become more disadvantageous as the global realignment of power marches on – it’s easier to identify the problem than to solve it.

It’s understandable that there is a reticence on the part of many teachers to absorb more subjects. Having been taught to teach one way, it must be wearing, if not overwhelming, to face new demands. But education needs to be relevant and to equip young people for today’s world.

A further challenge (or opportunity) is the widening of options at age 16 to encompass more employable vocational paths, emulating the approach – and success – of countries such as Germany and the Netherlands in developing apprentices where there are jobs. Even after the fall in UK youth unemployment this month, about 17pc of 16-24 year-olds here are neither employed nor in education – compared with just 7.8pc in Germany.

A recent report by the institute of Public Policy Research roundly criticises our system of vocational training, suggesting that UK training colleges teach their pupils to pass exams, rather than preparing them for the jobs market. The report cites plenty of evidence of a mismatch between training and jobs: in 2011-12, 94,000 young people trained in the hair and beauty industry, while there were only 18,000 jobs available. There were more than 200,000 work places available in construction and engineering - but just 123,000 young people trained in these areas.

I believe the solution to many of these issues lies in a much closer partnership between businesses, schools and policy makers – more universally, rather than just pockets of collaboration. Businesses can contribute resources and expertise – not as part of a narrow corporate responsibility agenda but to ensure that young people emerging from education into work have the skills that businesses actually need.

This tends to work better when offered sectorally through specialist agencies, rather than individual companies – it’s easier for schools to administer, with less concern that the relationship might become too commercial. There are good examples to build upon. Pfeg is already supported by the Institute of Chartered Accountants. The charity has also been collaborating with the Chartered Institute for Securities and Investment on guidance for teachers for the new Citizenship syllabus. Meanwhile, RedStart, an investment education initiative founded by consultancy Redington last year, has teamed up with a number of fund management houses including BlackRock and Aberdeen, who provide staff to go into schools to teach children finance.

One of my hopes as the new Chair of the Investment Management Association is that we can explore making this more widespread across the investment industry, working with charities, schools and parliamentary groups to supply content, people and other resources.

Fund management firms are already joining forces to ease the transition from education to work through an apprenticeship scheme, Investment 2020, the brainchild of Andrew Formica of Henderson Global Investors and Nichola Pease, former CEO of JO Hambro. The scheme not only helps young people but also businesses in the sector, by developing future talent.

It’s obvious that the world of work – and the paths to employment – are radically different today than for my own generation. Education – and vocational training – similarly needs to be open and able to change. This can’t depend only on schools or the Government. Partnership with business is the way to ensure our young people are ready for the opportunities and challenges of the modern world.

Helena Morrissey CBE is CEO of Newton Investment Management, Chair of the IMA and founder of the 30% Club

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