The Scout Association has launched its first ever money skills badge for younger members aged between six and 10 and a half.

The new Money Skills Activity Badge for Beavers and Cubs is the group’s first new badge in more than three years.

It is being supported by HSBC UK and the aim is to build young people’s confidence and understanding of money through “creative, fun and hands-on activities.”

HSBC plans to train more than 200 of its staff to deliver sessions to young people in Beavers and Cubs to help them achieve the badge.

The Scout Association is one of the largest youth organisations in the UK with nearly 500,000 young members and more than 100,00 adult volunteers.

The Scout Association says that research by the Money Advice Service shows that financial habits are developed by the age of 7 so helping young people develop money skills early makes sense.

The association says the new badges will give younger members skills to make decisions about money early in life and build their confidence in this area. 

To achieve the badges there are four requirements for Beavers and five for Cubs.

Among the areas covered for Beavers (aged 6-8.5) are budget building, learning about coins, deciding between a need and a want and making your own bank. Cubs (aged 8-10.5) learn about areas such as how to be ‘scam savvy’ online, how to save to buy things, how adverts influence spending and spotting fake money.

The new Badges are aligned with age-appropriate financial skills outlined in Young Money’s planning framework research. 

The badges are also designed to help Beavers and Scouts understand how their financial choices affect others and how they can help others struggling with numeracy. 

The badge has been developed as part of a three-year philanthropic partnership with HSBC UK.

Stuart Haire, head of wealth and personal banking at HSBC UK, said: “The Covid-19 crisis has tested the financial resilience of many families as well as disrupted in-classroom learning, elevating the need for more flexible and effective financial education resources to help young people build financial capabilities for a changing world. 

“Creating new and interesting ways for young people to engage with financial literacy is key, and we’re thrilled to be working with the Scouts to launch their Money Skills Activity Badge – the first financial skill-building programme of its kind.”