SAIF is calling for funeral support schemes across the UK to be reviewed following new analysis showing that average payments cover less than half of typical funerals.
Leading price comparison website MoneySuperMarket has carried out an in-depth analysis of the state-support shortfall low-income households face when paying for a funeral.
Read the MoneySuperMarket in-depth analysis
The report makes for worrying reading, and reinforces the need for a fresh look at the assistance provided to those families who might struggle with the cost of saying goodbye to a loved one.
The widening state support shortfall
MoneySuperMarket’s data reveals that state-backed assistance covers less than half the cost of a funeral, leaving some grieving families with a funding gap of £1,900 to £2,400.
Regional figures show that the shortfall is felt in all four jurisdictions of the UK:
- England & Wales: The average Funeral Expenses Payment of £2,030 leaves a substantial shortfall against average costs.
- Scotland: An average payout under the Funeral Support Payment of £2,104 leaves families struggling to bridge the gap.
- Northern Ireland: An average Funeral Expenses Payment of just £1,503 covers barely 44 per cent of expenses.
Compounding this crisis, nearly three in 10 UK applications (29.8 per cent) were rejected in 2024/25, frequently because the applicant was deemed not to be the “responsible person” under rigid qualifying criteria.
Real-world costs versus state provision
This shortfall is further exposed by research commissioned by SAIF and produced independently by Funeral Solution Expert. Their report – What is the real average cost of a funeral in the UK in 2026 – highlights that while consumer choices are evolving, the average cost of a funeral with an independent funeral director is £4,060 when the main funeral types are included. Government support falls drastically short of covering even a simple, dignified service.
At SAIF, we know that independent funeral directors are working tirelessly to offer affordable options, such as direct cremations (averaging £1,902 among the independent funeral directors surveyed) and low-cost attended options. However, state allowances have not kept pace with the realities of third-party fees, such as those charged by crematoria and cemeteries.
Read more about the 2026 Cost of a Funeral report
A call for immediate reform
In this cash-strapped era, no one should be forced into severe financial hardship or crippling debt to say goodbye to a loved one.
SAIF calls on ministers to urgently review qualifying criteria and close the funding gap. It is time for government assistance to reflect real-world funeral costs and ensure every family in the UK can afford a dignified send-off regardless of their economic status.
Read MoneySuperMarket’s analysis in full here
ENDS
Mark Binnersley
PR Consultant
