Families coping with loss are often faced with inflated funeral costs, paying substantially more than necessary for services like burials, cremations, and memorials. Many funeral providers take advantage of the public’s tendency to avoid comparing prices during these difficult times.

Recent research indicates that the cost for a basic attended funeral can differ by over £3,000 even among funeral homes located mere miles apart, despite similar service levels.

In London, prices for a basic funeral vary significantly, ranging from £1,140 to £4,300.

Other major cities in the UK exhibit similar price disparities; for instance, in Liverpool, basic funeral services start at £1,285 and go up to £3,050, while in Leeds, the cost ranges from £1,300 to £2,740.

Glasgow recorded the least price variation among major UK cities, yet even there, the gap between the cheapest and most expensive basic funerals stands at 85%.

An industry specialist criticized some funeral directors for branding their offerings as “luxurious” and charging higher fees despite providing services comparable to basic options.

A standard basic funeral generally includes the transfer and care of the deceased, a simple coffin, a hearse, cremation with an urn or container for ashes, along with a brief service. Costs usually cover necessary paperwork, such as burial or cremation certificates and coordination with authorities.

It’s important to note that basic services generally exclude embalming costs, viewing the deceased, ceremonial music, floral arrangements, or ceremonial orders. Charges for family transportation, like limousines, typically incur additional fees.

Ongoing Scrutiny of Funeral Sector

The data arrives as regulatory bodies continue to scrutinize the funeral industry, assessing the necessity of a new investigation.

Back in 2018, the Competition and Markets Authority (CMA) launched an inquiry into this £2 billion sector amid growing concerns over price inflation and unclear pricing structures.

While the pandemic delayed the investigation, the CMA found the market’s function to be inadequate, mandating that funeral directors clearly display pricing both online and in their establishments, and report revenue and service data to avoid customer exploitation.

A review conducted in 2023 indicated that approximately 25% of funeral directors failed to meet the required reporting standards, resulting in enforcement actions against over 100 non-compliant directors.

In December, the CMA initiated consultations regarding future actions, which may include another market investigation.

Significant Regional Price Differences

The information shared, sourced from The Farewell Guide—Britain’s inaugural funeral comparison service—suggests that families continue to incur far greater expenses than necessary for funeral services.

Beyond city-level price discrepancies, the data also revealed notable national variations. For example, Tandridge in Surrey was identified as the most expensive location for a basic funeral, averaging £3,360, while Wyre Forest in Worcestershire offered an average cost of just £1,650.

Rebecca Peach, CEO of The Farewell Guide, which compiles data from 6,000 funeral directors, noted that although operational costs can differ among providers, this does not solely account for the significant price variations.

She elaborated, “Larger chains often carry higher fixed costs related to facilities, vehicle fleets, and salaried personnel, which is typically reflected in their pricing. Conversely, independent funeral directors can often operate more flexibly, enabling them to provide more competitive rates.”

However, she also mentioned, “Some providers market themselves as more ‘luxurious’, even when delivering similar services.”

Peach advised grieving families to refrain from automatically choosing the nearest funeral director or the first result appearing in search engine results.

She emphasized, “People usually do not compare prices for funerals; many select the first funeral director they encounter via a Google search, often where larger companies dominate, and choose conveniently located options or those they’ve previously encountered during a deeply emotional period.”

“That’s why it’s crucial for individuals to research and prepare financially, ensuring they understand available options before their loved ones are taken by the funeral director.”

The National Association of Funeral Directors did not provide a response when approached for comment.