Source – Funeral debt in the UK has risen to £147m, according to a new report, as people borrow from friends and family or the bank to fund the last wishes of loved ones.
Funeral debt in the UK has risen to £147m, according to a new report, as people borrow from friends and family or the bank to fund the last wishes of loved ones.
The latest National Funeral Cost Index from pensions and investment company Royal London reveals that the average cost of a funeral in the UK is now £3,675, with 93,359 adults taking on funeral debt. The average debt taken on to cover costs is £1,601, which collectively equates to £147m.
One in seven people (15%) said they struggled with funeral costs. Among those, one in four said they borrowed money from family and friends or went into debt by taking out a loan, with a similar proportion using their overdraft facility to pay funeral costs.
Data from the Institute of Cemetery & Crematorium Management shows the cost of a burial ranges from £2,917 in Belfast, to £9,679 in Kensal Green in London.
Greenock in Scotland is the cheapest place to be cremated (£2,873).
The Royal London research also found 5% of consumers are choosing to have a direct burial or direct cremation and says it says the findings show there is “a clear demand” for this.