Funerals are an important part of saying goodbye to loved ones, but with costs rising significantly over the years, many families are finding it difficult to afford them. According to a 2023 Funeral Report, the average cost of a funeral in the UK is £4,515. With additional discretionary items such as flowers, catering, and memorials, this figure can rise to as much as £13,000. The rising cost of funerals has led to a growing issue known as “funeral poverty,” where families experience financial hardship following the death of a loved one.
But what happens if your family simply cannot afford the funeral? There are several options available, including the possibility of a public health funeral, sometimes referred to as a “pauper’s funeral.” Understanding these options can help families prepare for the unexpected and avoid unnecessary financial burdens.
What Is Funeral Poverty?
Funeral poverty occurs when a family is unable to meet the costs of a funeral after the death of a loved one. In the UK, research has shown that nearly 45% of people have contributed financially to a funeral, with the average contribution being £2,386. However, not all families have the financial ability to pull together such funds on short notice. This is particularly problematic in cases where the deceased did not have a life insurance policy or sufficient savings to cover the costs.
The harsh reality is that many families face financial challenges when a loved one passes unexpectedly. Fortunately, there are steps that can be taken to avoid falling into debt due to funeral expenses.
Your Money Can Be Used to Pay for the Funeral
If you have savings or bank accounts, your family can request the release of your assets after your death to cover funeral costs. According to the UK government, funeral payments are not deducted from personal items such as a house or any other belongings you may have left to your surviving partner. Instead, the funds come from bank accounts or savings that you have at the time of death.
If no debts are owed, these assets can be used to cover funeral expenses. However, if the deceased did not leave behind enough money to pay for the funeral, other solutions must be considered.
Local Authority Funerals
In cases where no funds are available and the family is unable to afford the funeral, the local authority can step in to provide what is known as a public health funeral or local authority funeral. To access this option, the family must submit a written statement disclaiming responsibility for the funeral.
A public health funeral, often referred to as a “pauper’s funeral,” is a basic service that the local council covers entirely. This includes the cost of a coffin, funeral director, and burial or cremation services. Although this option alleviates the financial burden on families, it comes with limitations.
How Does a Public Health Funeral Work?
When someone dies without any available funds or goes unclaimed by relatives, the council takes on the responsibility of arranging the funeral. The service is typically simple and dignified but lacks the more personalised elements of a traditional funeral, such as flowers, viewings, or memorials. The deceased is often cremated or buried in an unmarked grave, sometimes shared with others, unless they already own a burial plot.
Families opting for a public health funeral should be aware that they will not have control over the funeral arrangements. The council decides on the date and time of the service, and months may pass before it takes place, which can be distressing for families.
Preparing Financially for a Funeral
The thought of not being able to give a loved one a proper send-off can weigh heavily on families, but there are ways to prepare financially for a funeral to avoid these situations. One option is to invest in life insurance to ensure that funds are available to cover funeral expenses.
A spokesperson from UK Life Insurance states, “Many families are unprepared for the financial burden of a funeral, but having a life insurance policy in place can offer peace of mind and prevent loved ones from facing significant hardship.”
A life insurance policy, such as British Senior Life Insurance, can provide the financial cushion families need to cover funeral costs. This type of policy can help alleviate the stress of funeral poverty, allowing families to focus on grieving rather than worrying about expenses.
Life Insurance for Funeral Costs
Life insurance is an excellent way to ensure that your family can afford your funeral when the time comes. Policies like British Senior Life Insurance are designed to provide financial assistance to families after the death of a loved one. This coverage can be used to pay for funeral expenses, relieving the financial burden on your family and allowing them to give you the send-off you deserve.
In some cases, life insurance providers also offer additional benefits. For example, British Seniors offers a free Funeral Benefit Option, which provides a £300 contribution toward funeral costs, helping to reduce the overall financial burden on families.
Funeral poverty is a growing concern in the UK, but families do have options if they cannot afford to pay for a funeral. Whether through accessing the deceased’s savings, opting for a public health funeral, or taking proactive steps by securing a life insurance policy, it’s essential to be prepared for the inevitable costs associated with death. By planning ahead and securing coverage like British Senior Life Insurance, you can help ensure that your loved ones won’t face the financial strain of funeral costs at an already difficult time.
Veeramachineni Lalitha
I am Finance Content Writer. I write Personal Finance, banking, investment, and insurance related content for top clients including Kotak Mahindra Bank, Edelweiss, ICICI BANK and IDFC FIRST Bank. My experience details : Linkedin