The overall cost of dying in 2016 is up by £676 from £8,126 to £8,802.
The cost of a basic funeral has risen for the 13th year in a row to £3,897. Funerals costs have gone up 5.5% and in the past year alone have risen 5.5% which is around ELEVEN times the rate of general inflation and more than double the rate of pensions, inflation and earnings growth.
Cost of Dying in 2016: Funeral Inflation 11 Times Higher.
The Cost of Dying Report shows that over 13 years, the price of funerals has more than doubled from £1,920 in 2004 to nearly £4,000 in mid 2016. If funeral costs had been inflation linked. a funeral would now cost around £2,540. That is a massive gap of £1,357. A clear indicator that a prepaid funeral plan is an important investment.
This rapid funeral cost inflation would explain why funeral are less elaborate than they were 8 years ago. As a proportion of the total cost of dying, funeral costs have dropped from 31% in 2008 to just 22% today, The Cost of Dying Report suggests that the continuing rise in the cost of funerals is forcing families to cut corners on their loved ones’ send-off. Here at the Prepaid Funeral Review, we tend towards a decent send off and not an elaborate one and use the money for those left. But it is your choice – if you want to spend £20,000 on a prepaid funeral plan, we can certainly arrange it!
You may wish to read about the Pitfalls of some types of funeral savings.
The rising cost of dying in 2016 do mean than more people are making at least some provision for funeral finances now, even if not always in the most suitable way, it all helps. Around 62% have put at least some money aside compared to 59% last year and just over half (54%) in 2009. That said, a significant proportion of people who have had to organise a funeral admitted it caused them
financial concern. The average shortfall was £2,334, and prepaid funeral plans can make a big impact in reducing the financial problems caused to those left behind. A proper prepaid plan need not be as expensive as you would think, and even a very basic one takes away some of the financial strain.
The Cost of Dying report also found that we are not talking about what type of send-off we would like. Just one person in 100 let their family know what their funeral plan wishes were. From personal experience, we know that this can prey on the mind of those left, so at least contact us for our Free Funeral Wishes pack.
We all know that death is inevitable, but leaving debt and emotional stress behind for our loved ones is not. So let the team at the Prepaid Funeral Review help you do something about it! Call us on 0800 0588 240, or use the enquiry form to the right.