ACT government push to phase banks out of Canberra schools

The ACT Greens introduced a motion to the Legislative Assembly on Wednesday afternoon that called on the government to transition away from banks by the end of June.

Labor and Liberal supported the motion, but the Liberals put forward an amendment to extend the transition until the end of the next school year.

The motion was put forward by ACT Greens education spokesman Johnathan Davis.

Mr Davis said he was prompted to introduce the motion after a report from the Australian Securities and Investments Commission found school banking programs did not improve savings behaviour.

The ASIC report found young children were "vulnerable consumers and are exposed to sophisticated advertising and marketing tactics by school banking program providers".

The ACT will follow Victoria. The state banned financial institutions from offering school banking programs at the start of the year.

Several banks, including Bendigo and IMB, have ceased their programs. But the most prolific school banking program is the Commonwealth Bank's Dollarmites program.

In a statement, Commonwealth Bank executive general manager customer service network Mark Jones said he was disappointed by the decision.

"This will have an impact on thousands of children, families, school communities and volunteers, right across the territory," he said.

"We will be supporting our impacted teams and school partners across the ACT and determining what this means for them going forward."

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Mr Davis also used the motion to call on the ACT government to deliver financial literacy programs for children.

He said the government should work with students, the ACT Council of Parents and Citizens Association, the Australian Education Union ACT branch and the ACT Principals' Association to develop a new plan.

"This is something that needed to be done yesterday," he said.

"It's time we get commercial interests out of schools."

Education minister Yvette Berry said fewer than 10 per cent of the territory's public school students were enrolled in a school banking program.

ACT Council of Parents and Citizens Associations communications officer Janelle Kennard said members would meet later this month to discuss different options for how financial literacy could be taught in schools.

"Some really value [school banking] but others are moving away from it," she said.

"We need to have further discussion ... it's important to bring members along with us."

Shadow education minister Jeremy Hanson said he did not think the motion offered enough time to create an appropriate replacement program, and he did not want students to be "unduly disrupted".

"That seems to me a very short timeframe for students, parents, P&Cs to adjust," he said.

"I don't know if schools are ready to come up with a new program."

The amendment was unsuccessful.

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