Should teenagers be more realistic about money? Photograph: Rex Features
Should we be telling young people more about money? Is ignorance of financial realities bliss, or the reason we as a nation are carrying £1tn of personal debt and feeling nervous about what the future holds for our wallets? I ask because NatWest has just published some research into the financial expectations of 8,500 teenagers.
The results have led the bank to dub these 11-19-year-olds the "Hopeful" generation, which seems to be putting it mildly. According to the research, 43% of them expect to emerge from university with less than £10,000 in debt, 88% expect to be living in their own place by the age of 21, and 59% expect to own a house by the age of 25.
This might not all be quite as daft as it sounds. Average student debt was £12,363 last year, but it is falling and this year's intake will get extra financial help from the government. And if house prices fall sharply the notion of almost two-thirds of them owning a home by 25 may not be so far-fetched. But these teenagers do have expectations that don't match up to the reality for those currently in that age bracket.
And this doesn't seem to be based on evidence that they are more financially savvy: 76% were unable to spot the cheapest loan when shown a range of interest rates.
So should we celebrate their optimism and hope they are the generation that gets it right? Or are they more likely to achieve their ambitions if they wake up to the facts now?
