Pearson and Cebr research: £8.7 billion benefit for UK economy from investment in technology in schools
LONDON – 9 January 2025 – An annual investment of approximately £130 million a year in technology in schools over the next decade would deliver an economic benefit to the UK of up to £8.7 billion. For every £1 invested, technology in schools would bring a return of up to £7.90, benefiting both the education sector and the growth of the economy.
These findings are from a new report commissioned by Pearson (FTSE: PSON.L) the world’s lifelong learning company, and produced by the Centre for Economics and Business Research (Cebr). The research highlights the transformative economic and educational benefits of investing in digital transformation within UK state-funded schools and the stronger role it could play in both curriculum and assessment.
Key findings from the report
Using Pearson's digital transformation framework for UK schools, the Pearson-Cebr analysis found that strategic investment across three main areas – device provision, broadband improvement and teacher training – could deliver substantial improvements including:
Teacher time savings of around £900 million in the first year alone – freeing up teachers’ time equivalent to almost five average working weeks.
Additional earning potential for new entrants to the labour market – this would increase from under £7 million in year one to around £200 million by year 10 thanks to improved skills through the use of EdTech underpinning higher student attainment.
Economic productivity – wider economic benefits from a more skilled workforce would see returns starting at around £6 million in the first year and rising to around £180 million by year 10.
Positive environmental impact – potential for nearly 2 million kg of CO2E savings by the tenth year of the appraisal period – that's enough to power hundreds of households for a year.
Views on the report
“Investing in digital transformation within our schools is an investment in our future. The benefits of technology extend far beyond the classroom – helping underpin student outcomes, freeing up teacher time and driving economic growth too.
“With discussions ongoing about the future of curriculum and assessment, we believe it’s crucial to look at the benefits that technology can unlock for schools, students and the economy. Our goal with this work is to progress these conversations and identify practical suggestions. Strategic investment in both infrastructure and teacher training will support UK state-funded schools to make better use of technology, better prepare students for future life and work and ultimately, help to build a more productive workforce.”
Sharon Hague, Managing Director of Pearson School Qualification
“Children learning today are entering a digital world tomorrow, with the pace of digitisation and tech growth at an unprecedented level. This report shows the power of giving young learners access to tech in the classroom – which we feel is especially important for those living in lower income families without a laptop at home on which to learn or complete education. Combining this with meaningful teacher training on providing digital skills has the opportunity to transform the futures for millions of young people who can forge a better future if given the knowledge and confidence to succeed in accessing jobs that are ever more reliant on tech."
Elizabeth Anderson, Chief Executive of the Digital Poverty Alliance
“Our report highlights the benefits that could be accrued through increased investment in EdTech. These benefits grow over time and begin to outweigh the costs by several multiples. At a time when productivity growth in the UK is feeble, particularly in the public sector, this presents an attainable approach to improving skills and both educational and labour market outcomes.”
Sam Miley, Managing Economist and Forecasting Lead at Cebr
What’s needed?
Cebr-Pearson analysis drew on existing research across the sector* to define what technology and training was needed for schools. This includes:
- Additional device provision – currently just 34% of secondary schools and 31% of primary schools say they have a sufficient numbers of devices
- An overhaul of broadband for schools – slow internet speed is reported at 27% of secondary schools and 36% of primary schools
- Training of 20+ hours per teacher – for example, currently 24% of teachers consider a lack of confidence in their digital skills to be a barrier to using technology in learning
- Teaching and assessment of the digital skills that young people need for the future
- Additional exam formats – currently only pen and paper are used in the majority of exams.
* Full references to sector research are within the summary report and full Cebr analysis.