Improving social mobility 'could boost UK economy' - Sutton Trust

Giving school children from poorer families more help to improve their grades could boost the UK economy by up to £140 billion a year, according to a report.

Summer camps, extra lessons, help with university admissions and other schemes, could ultimately add £1.3 trillion to the economy over the next 40 years, the Sutton Trust said.

Management consulting firm Boston Consulting Group (BCG) analysed how such schemes could improve exam results and lead to vastly increased lifetime earnings.

The consultancy calculated that bringing below average students up to the national average would add £14 billion a year to Gross Domestic Product (GDP) by 2030 and £140 billion by 2050.

According to the Mobility Manifesto report, someone with a university degree will earn £604,000 over their working lifetime, £108,000 more than someone with A levels alone, and £268,000 more than someone who fails to achieve five good GCSEs.

Sir Peter Lampl, chairman of the trust, said: "The low level of social mobility in the UK is costing us vastly in financial terms and represents a tremendous waste of talent.

"This would matter less if the world around us was standing still. But it is not.

"Other countries are investing heavily in measures to boost school results and increase university participation.

"Their gains could be our loss - which is why this is such a crucial issue for all parties ahead of the general election.

"The BCG analysis makes clear that investing in measures to increase mobility and narrow the achievement gap make sound economic sense, even in these times of financial hardship.

"But the new Government, of whatever colour, will need to take a wider and longer term view, beyond a single Parliament or the budget of an individual department.

"The full rewards of a more mobile and socially just society will only be evident in decades to come."

The report looked at education schemes from around the world and estimated that there was an average return on investment of six to one, when comparing the increased earnings with the cost of the programme.