Most children in the UK have ambitions to start their own business in future and would like to learn some of the skills that are needed to do so when they’re at school.
The findings come from new research* of 1,000 children aged 9 – 11, revealing their financial habits and entrepreneurial aspirations.
The results show that over two-thirds (71%) of children want to learn about starting their own business at school, while four in five (83%) aspire to start their own business in the future.
The study, commissioned by Virgin Money, also found that children understand the value of saving, with 88% having saved money for something specific before, saving £57 on average.
Despite the rise in digital transactions over recent years, cash remains a crucial part of children’s financial education. The research shows that almost half (47%) of children save their money in a piggy bank or money box, and 44% use cash when paying for things.
Parents play a crucial role in financial education, with a remarkable 82% of children saying they learn how to manage their finances from their parents. The survey also found that 92% of children are engaging in conversations about money with their parents or guardians, highlighting the importance of family time in financial education.
Children also recognise the value of investing, with around two-thirds (64%) preferring to invest to earn more in the future rather than spend it, if they were given £5.
The research by Virgin Money was undertaken to understand more about children’s views on money and entrepreneurship, as part of its Make £5 Grow programme. This programme is designed to develop financial literacy and entrepreneurial skills in 9-11 year olds across the UK, and over 200,000 pupils from over 3,000 schools have so far taken part.
Newport Primary School, in Brough East Yorkshire, has participated in the Make £5 Grow programme since 2020. Their involvement began when a planned school trip to Northumberland was cancelled due to Covid restrictions. In response, the school organised a unique experience for the students by setting up a school camp-out and expanding it into a larger entrepreneurial project.
Since being involved in Make £5 Grow, the students have engaged in various business ideas, including car washing, homemade sweet treats, ice creams, making arts, crafts, and jewellery.
The funds raised from these ventures contribute to a Mini Festival for the students, featuring a silent disco, DJ, ice cream van, pizza trailer, stuntman performances, popcorn machines, and inflatables for the entire school to enjoy. Additionally, the money has been used to purchase scripts and music for the end-of-year school production. This project has not only provided fun and excitement but also fostered a sense of responsibility and teamwork among the students.
Amy Earl, teacher at Newport Primary School said: “The children count down the days until we start the Make £5 Grow project. They work so hard and deserve to make memories that last a lifetime while sharpening their entrepreneurial skills.
“With the incredible support of their families, who help sell these items rain or shine, the children have gained invaluable entrepreneurial skills and created lasting memories. I would always recommend, and have recommended, this project to other schools and teachers.”
Jasmin Sanghera, community manager at Virgin Money said: “Entrepreneurship is a key driver of growth in our economy, so it’s vital that we help to foster the skills needed from a young age.
“Make £5 Grow is designed to empower children with the knowledge and confidence to pursue their business dreams, and we are thrilled to see such strong interest in learning about this from young people.”
Children participating in Make £5 Grow are encouraged to develop innovative business ideas and generate a profit for their school, using a £5 loan per child from Virgin Money. The programme provides pupils with an insight into how the world of business and finance works.
It helps them to build key money management skills by starting a small business, with access to a Make £5 Grow Ambassador for business support and a suite of curriculum-based classroom tools, which have recently been accredited as a financial education resource by Young Enterprise.
The schools keep any profit made after repaying the initial £5 loan.
Through this initiative, Virgin Money aims to empower the next generation to save, invest, and pursue their entrepreneurial dreams, building a financially literate and economically resilient future.
Further details are available at www.make-5-grow.co.uk
