Price war after Co-op cuts the cost of funerals

THE Co-op is slashing the cost of funerals in an attempt to undercut its rivals, sparking a possible price war.

The company is reducing the cost of a “simple funeral” by £100 to £1,895, and by a further £200 for its 4.7 million members.

The move comes two weeks after a Daily Express investigation revealed that families faced a postcode lottery over soaring funeral costs.

The average cost of a funeral has risen by 33 per cent in the past two years to £4,241.

Guarantee

Prices varied widely across the country, with the average funeral in Watford costing £5,814, compared with £3,812 in Cardiff.

Robert Maclachlan, managing director of Co-op Funeralcare, said a decision to cut the cost of funerals came after a survey revealed four million in Britain suffered financial hardship after a bereavement. He said: “The changes we are making form part of a long-term focus we have on leading the market to further assist the bereaved in tackling funeral affordability.”

He added: “Funerals are becoming increasingly price sensitive and in the last two years we have seen a huge shift in the number of clients seeking affordable funeral choices.

“Our new guarantee to beat on price means that families choosing a funeral with the Co-op can be assured that they are receiving a competitively priced funeral, with no compromise on our high standards of care.”

The price drop includes a guarantee to beat other providers’ funeral prices on a like-for-like basis.

It is expected to have an impact on rivals such as Dignity, which offers a similar service for £1,995.

The Co-op has a 16 per cent share of the market, while Dignity has 12 per cent.