- Only 20% of 18–21-year-olds show an interest in learning about debt management, according to new data
- Less than a third (30%) were taught about student loans at school, and only one in 10 (12%) learnt about personal loans
Research from Santander1 reveals that only one-in-five (20%) young adults (aged 18-21) are interested in learning about debt management. Yet, borrowing is becoming increasingly prevalent amongst young people, with research from debt charity Step Change finding that almost one-in-four (23%) 18–24-year-olds are in some form of financial difficulty.2 Common forms of debt include buy-now-pay-later and student finance, with around £20 billion loaned to 1.5 million higher education students each year.3
It is increasingly important that young people are aware of the risks associated with borrowing money, yet, the school curriculum - as it stands - falls short of these important topics, with less than a third (30%) of young people surveyed learning about student loans at school. Only 12% had learnt about personal loans, and a fifth (21%) recall learning about credit cards, with more than a quarter expressing a desire to know more about them.
According to the research, nine in ten young people worry about money, with over a third (35%) worrying about their finances every day. When asked about their reasons why, almost a quarter (22%) outlined their concern about falling into debt.
Mark Weston, Director of Financial Support at Santander UK, said: “Debt is an important part of most people’s day-to-day finances. Borrowing money allows people to buy homes, access higher education, and make big purchases. However, it’s crucial that people know the appropriate risk and reward trade-off before making the decision to borrow, to avoid unexpected difficulties in the future.
“That’s why it’s vital that we give young people the tools needed to make well-informed decisions around their finances. Simple and free-to-use tools, such as our Financial Health Check, are a great place to start – giving an overall view of day-to-day spending, budgeting and borrowing.”
For more information about ways to manage your money and debt support, including Santander’s Financial Health Check and Budget Calculator, visit: https://www.santander.co.uk/personal/support/help-with-managing-my-money.
- ENDS -
Notes to Editors
1. Research conducted by Savanta between 22nd October and 5th November amongst 2,000 18–21-year-olds.
2. Step Change – Debt amongst young people statistics.
3. UK Government - Student loan statistics.
About Santander
Santander UK is a financial services provider in the UK that offers a wide range of personal and commercial financial products and services. At 31 December 2024, the bank had around 18,000 employees and serves around 14 million active customers, including 7 million digital customers. Santander UK is subject to the full supervision of the FCA and the PRA in the UK. Santander UK plc customers’ eligible deposits are protected by the FSCS in the UK.
Banco Santander (SAN SM, STD US, BNC.LN) is a leading commercial bank, founded in 1857 and headquartered in Spain and one of the largest banks in the world by market capitalization. The group’s activities are consolidated into five global businesses: Retail & Commercial Banking, Digital Consumer Bank, Corporate & Investment Banking (CIB), Wealth Management & Insurance and Payments (PagoNxt and Cards). This operating model allows the bank to better leverage its unique combination of global scale and local leadership. Banco Santander aims to be the best open financial services platform providing services to individuals, SMEs, corporates, financial institutions and governments. The bank’s purpose is to help people and businesses prosper in a simple, personal and fair way.