More than 40% of Irish adults lack minimum level of financial literacy

Department of Finance report called for greater focus on tailoring financial education for certain groups including women, unemployed people and those on low incomes

Report stated that financial education should begin in early childhood, ideally in pre-school education, adding that currently, many financial education programmes for children and young people are aimed at senior cycle in secondary school.

About 43% of adults in Ireland do not have the minimum financial literacy needed to manage their money on a day-to-day basis, a report by the Department of Finance has found.

Released on Friday, Finance Minister Michael McGrath published a mapping report looking at the development of a National Financial Literacy Strategy in Ireland, calling the report a "significant milestone."

The report collates the extent of the current provision of financial education in Ireland across several organisations. It also provides evidence, analysis and recommendations for the next stage of the design and development of a national strategy.

The report found that around 57% of adults in Ireland meet the minimum OECD level of financial literacy. A minimum level of financial literacy means they can manage their money on a day-to-day basis with ease and can consider their long-term financial wellbeing.

However, it also found that 44% of the adult population does not have the minimum level of digital financial literacy needed to navigate their finances, adding that "there is still work to do to improve financial literacy in Ireland."

The report also called for a greater focus on tailoring financial education, especially for certain groups including women, unemployed people, those on low incomes, those with lower levels of education and older people.

It also stated that financial education should begin in early childhood, ideally in pre-school education, adding that currently, many financial education programmes for children and young people are aimed at senior cycle in secondary school.

"Since I announced the commencement of work on the development of this strategy, my officials have engaged extensively with a wide range of relevant stakeholders," said Mr McGrath.

"While Irish adults score well on financial literacy compared to other OECD countries, there is still a significant amount of the adult population that does not have the minimum level of financial literacy needed for managing their money on a day-to-day basis or to consider their long-term financial wellbeing."

"The next phase of our work will involve preparing a National Financial Literacy Strategy, an action plan and an appropriate governance structure to ensure the successful implementation of the strategy. I aim to publish the National Financial Literacy Strategy by the end of 2024."