Unexpectedly high funeral costs can come as an unpleasant surprise, leaving bereaved relatives to face large bills at a time when they are both emotionally vulnerable and financially distressed. The viewers of afternoon network television need no reminder, as numerous interval ads for funeral plans, life insurance, cremation and the like constantly promise to blunt the financial pain of dying. But now the funeral services industry is itself feeling the pinch. Despite a surge in the number of deaths, the Covid-19 pandemic has limited the services that can be provided by funeral directors. Cost pressures due to higher wage bills to pay for overtime working and for temporary workers hired to replace staff forced to self-isolate have been added to the costs of personal protective equipment . Simpler funerals, with small numbers of socially distanced attendees, have become the norm, and lavish income-generating funerals with elaborate services put on hold for the time being. Dignity plc, the only publicly listed funeral services director in the UK, thus recently reported pre-tax losses of £19.6 million for the year leading up to Christmas Day 2020.
Notwithstanding the funeral industry’s recent losses, concern over escalating funeral costs has grown throughout the Western world, for many decades. As far back as 1963, Jessica Mitford’s book on The American Way of Death exposed undue profiteering in the funeral home industry in the US. These concerns over unreasonably high funeral costs have continued, and even increased, during the 21st century. In the UK, the Competition & Markets Authority (CMA) thus concluded, in an Investigation Report released on 18 December 2020, that they had “serious concerns about the sector.” The CMA went on to list a number of ‘sunlight’ remedies to help “consumers”. They called for advance pricing of Attended Funerals, clarity about the services on offer, caps on standard funeral packages, and also recommended that funeral directors undergo formal registration and submit to periodic and independent inspection
The costs of a funeral vary considerably within the UK, depending on chosen option and location. Cremation is by far cheaper than burial, and tops the list of popular choices. London is the most expensive place to be either cremated or buried in, with Highgate Cemetery in north London topping the list of most expensive cemeteries in the UK. When it comes to less expensive cremations, costs can be further reduced by dispensing with the services of a funeral director. Prepaid direct cremation plans have thus become increasingly popular. These plans include transportation in a simple coffin to the crematorium , cremation fees, and return of the ashes to the family by hand delivery. Moving up the ladder, you can chose to make use of a funeral director, for either cremation or burial. This is, however, when the costs begin to stack up.
Funeral director’s fees cover the costs of collection, care, storage, and preparation of the deceased, and subsequent transfer to either crematorium or cemetery. Funeral directors can also organise a wide range of added optional extras in the form of send-off costs. The grander the send-off, the higher these costs, which can include venue hire for a wake or gathering, the funeral cortege (limousines, hearse, horse-drawn carriages), payments to florists and caterers, obituary notices in local papers, embalming of the deceased, memorial headstones or plaques, and anything else felt appropriate to honour and commemorate the departed person. In addition, there are so-called third-party costs, in the form of medical certification fees, burial or cremation fees, church (or other religious institution) costs, and fees for a minister of religion or celebrant. Burial costs, in turn, are made up of fees for the grave digger and Exclusive Right of Burial fees for the land where the grave is sited, with maintenance costs kicking in later.
No one wishes to knowingly inflict pain upon their loved ones. Funds should ideally be set aside specifically for the most affordable funeral option of one’s choice, rather than saddling one’s spouse and family with unexpected debt, which can take years to repay. It is worth considering the wider range of services, options, and facilities available today. Secular, personalised and bespoke funeral ceremonies, frequently in non-traditional settings, have become more popular in recent years. When choosing a funeral director, it is important to obtain at least two, and preferably three quotes, from both established national chains as well as smaller and independent local firms, which are typically family-run and cheaper than their larger counterparts. Besides cutting back on funeral director’s fees, you can also shop around for competitive crematorium or cemetery costs. There is also a greater choice of burial sites, with burial on woodland or ‘green site’ and on private land favoured by some. And remember, priciest is not necessarily best!
The funeral services industry has been thrust into the forefront of the Covid-19 pandemic, although not sharing in the publicity given to other frontline sectors of activity. Staff have reportedly experienced fatigue and stress from dealing with unprecedented numbers of deaths, while mortuary capacity has at times struggled to cope with demand. The exogenous shock of the pandemic may, however, provide the industry with a fresh opportunity to re-examine its business models, review its operating policies, and ensure better regulation of prices. The pain caused by death need not be worsened by the added pain of unduly high funeral costs.
Ashis Banerjee