The move follows new research showing that industry invests around £25m annually in 36 programmes, most targeted at people under the age of 18.
The review highlights the strong support for financial education from within the industry and wider stakeholders.
Over half (56%) of the existing programmes measure the numbers participating or engaged but only 20% examined behavioural change.
The review states that there are no suitable and agreed Key Performance Indicators within evaluations.
Knowledge and attitudinal outcomes are widely used but these do not necessarily result in the kind of sustained behaviour change the Money Advice Service promotes.
The Money Advice Service believes the impact of industry-funded programmes can be enhanced by the adoption of a voluntary code of practice to promote an agreed framework for the delivery and measurement of financial behavioural change.
This would enhance existing schemes which quality-mark teaching materials.
It is expected that the Code will be completed in 2013.
The research also confirmed that attitudes to money are formed early and that interventions within a broader family framework can influence the desired long-term behaviour change.
This reflects findings in the fields of alcohol, smoking, sexual health, drug and sex education.
Drawing on this review the Money Advice Service will now pursue its responsibility for financial education by taking the following action in 2012-13:
• measuring – for the first time - the financial capability of 15-16 year olds in the UK
• developing with others a set of measurable and robust key performance indicators
• establishing a good practice forum for practitioners and stakeholders to consider strategy and
• working with the Personal Finance Education Group to identify what can be done to increase the impact, extend the reach and, ensure the sustainability of the ‘My Money Week’ initiative targeted at schools.
In addition to developing the voluntary code the Money Advice Service will develop a robust understanding of family and peer influences that impact and promote the financial capability of young people.
It will also establish a brokerage capability for industry-funded financial capability programmes to ensure they are complementary and fill identifiable gaps.
Speaking at an RBS-organised event hosted by Mark Garnier MP at the House of Commons today Money Advice Service chairman, Gerard Lemos, said: “Developing financial capability for young people is an important part of our work and many excellent industry-funded programmes have been supporting the same objective for years.
“Now we have a clearer understanding of how home and school environments influence financial capability we can begin to develop targets and standards that deliver long-term behaviour change.
“We look forward to working with the industry and other organisations in drawing up a voluntary code to create a more joined-up, comprehensive and impactful approach.”
