Sex education in schools must be mandatory, and the government needs to focus on getting back to basics to help prevent teenage pregnancies, its advisers said today.

The Independent Advisory Group on Teenage Pregnancy said statutory sex education in schools was now essential, and family-planning clinics should be set up in places such as shops and sports halls, where youngsters can easily go for help and information.

The most recent National Office for Statistics figures from 2004 show a drop of 11.1% in conceptions among the under-18s and a 15.2% fall among the under-16s since 1998.

England's teenage pregnancy rate is now at its lowest for 20 years.

Teenagers should be offered a full choice of contraception, including long-lasting forms of contraception, the advisers said in their annual report.

Condoms should be widely available at low cost, or no cost, to young people in places that are used and accessible, including shops, sports facilities and further education colleges, they suggest.

The advisers, who study the effectiveness of the 10-year teenage pregnancy strategy, welcome the government's new emphasis on tackling social exclusion.

The strategy's main aim is to halve the conception rate among under-18s by 2012 and establish a downward trend among under-16s.

Getting more teenage parents into education, training or employment, to cut the risk of long-term social exclusion, is another priority. Its target is to have a 60% participation rate by 2010.

For the fourth year running, the advisers called for Personal, Social and Health Education (PSHE), including sex and relationship education, to be a statutory part of the national curriculum at all key stages.

Group chair Gill Frances said: "It is becoming indefensible to argue against this. Schools are central to children and young people's lives, and are the best place for them to learn the life skills to meet the challenges of young adulthood."

Young parents also need more support and should have a dedicated personal adviser and high-quality supported housing, according to the advisers.

The report said young parents and their babies are still being placed in unsuitable and inappropriate temporary housing, including bed and breakfast accommodation, and left to cope alone.

All professionals who work with young people must be equipped with the skills to talk to them about health and emotional wellbeing, including sex and relationships.

Ms Frances praised the progress of the strategy to date: "England's teenage pregnancy rate is lower than it has been for 20 years.

"I am delighted that the strategy is proving so effective in bringing down the rate from such a high starting point. We know the challenges but we have the solutions.

"Some areas have made significant progress and we want to ensure that success is replicated everywhere."