The Government currently has no plans to introduce a licensing scheme for funeral directors.

Funeral directors are subject to existing consumer rights legislation. We believe this provides the tools necessary for tackling rogue practices in the sector. We are strengthening consumer rights as part of the Digital Markets, Competition and Consumers Bill.

Following a market investigation into the funerals sector, the Competition and Markets Authority introduced legal obligations on funeral directors and crematorium operators in 2021 and set these out in guidance in 2023.

We have accepted that some form of regulation of the funeral sector is required. My officials have therefore been working on a plan to assess the adequacy and effectiveness of the self-regulation regimes introduced by the two main representative bodies, and to launch a call for evidence.

The call for evidence will be launched before summer recess and will gather views on what type of regulation is appropriate and proportionate. Following this, we will develop and consult on proposals for the regulation of the sector. There are a number of possible routes for regulation including introducing an independent regulator. It is too early at this stage to say which is most appropriate.

I have discussed the regulation of the Funeral Sector with cabinet colleagues, and am working particularly closely with Minister Hoare on the short-term response to the tragic events in Hull and East Rising.

We have accepted that some form of regulation of the funeral sector is required. My officials have therefore been working on a plan to assess the adequacy and effectiveness of the self-regulation regimes introduced by the two main representative bodies, and to launch a call for evidence.

The call for evidence will be launched before summer recess and will gather views on what type of regulation is appropriate and proportionate. Following this, we will develop and consult on proposals for the regulation of the sector. There are a number of possible routes for regulation including introducing an independent regulator. It is too early at this stage to say which is most appropriate.

I have discussed the regulation of the Funeral Sector with cabinet colleagues, and am working particularly closely with Minister Hoare on the short-term response to the tragic events in Hull and East Rising.

We have accepted that some form of regulation of the funeral sector is required. My officials have therefore been working on a plan to assess the adequacy and effectiveness of the self-regulation regimes introduced by the two main representative bodies, and to launch a call for evidence.

The call for evidence will be launched before summer recess and will gather views on what type of regulation is appropriate and proportionate. Following this, we will develop and consult on proposals for the regulation of the sector. There are a number of possible routes for regulation including introducing an independent regulator. It is too early at this stage to say which is most appropriate.

I have discussed the regulation of the Funeral Sector with cabinet colleagues, and am working particularly closely with Minister Hoare on the short-term response to the tragic events in Hull and East Rising.

We have accepted that some form of regulation of the funeral sector is required. My officials have therefore been working on a plan to assess the adequacy and effectiveness of the self-regulation regimes introduced by the two main representative bodies, and to launch a call for evidence.

The call for evidence will be launched before summer recess and will gather views on what type of regulation is appropriate and proportionate. Following this, we will develop and consult on proposals for the regulation of the sector. There are a number of possible routes for regulation including introducing an independent regulator. It is too early at this stage to say which is most appropriate.

I have discussed the regulation of the Funeral Sector with cabinet colleagues, and am working particularly closely with Minister Hoare on the short-term response to the tragic events in Hull and East Rising.

We have accepted that some form of regulation of the funeral sector is required. My officials have therefore been working on a plan to assess the adequacy and effectiveness of the self-regulation regimes introduced by the two main representative bodies, and to launch a call for evidence.

The call for evidence will be launched before summer recess and will gather views on what type of regulation is appropriate and proportionate. Following this, we will develop and consult on proposals for the regulation of the sector. There are a number of possible routes for regulation including introducing an independent regulator. It is too early at this stage to say which is most appropriate.

I have discussed the regulation of the Funeral Sector with cabinet colleagues, and am working particularly closely with Minister Hoare on the short-term response to the tragic events in Hull and East Rising.

This is a matter for the Financial Conduct Authority (FCA), which is independent from Government.

The FCA will respond to the Honourable Member by letter, and a copy of the letter will be placed in the Library of the House of Commons.

The government works closely with the FCA to continually review the regulatory perimeter to ensure that the right balance is struck between proportionately protecting consumers, minimising costs on business, and ensuring consumers have access to useful and affordable financial products and services.

Once made aware of consumer detriment in the pre-paid funeral plans sector, the government investigated and confirmed these reports through its 2018 call for evidence. The government then consulted widely with industry and passed legislation in January 2021 to bring all pre-paid funeral plan providers and intermediaries within the FCA regulatory perimeter.

This has ensured that 1.6 million funeral plan customers are, for the first time, protected by compulsory and robust regulation.

In January 2021, the government legislated to bring all pre-paid funeral plan providers and intermediaries within the regulatory remit of the Financial Conduct Authority (FCA) from 29 July 2022. This has ensured that, for the first time,1.6 million funeral plan customers are protected by compulsory and robust regulation.

The government consulted widely on the regulation of pre-paid funeral plans. It published a consultation, draft statutory instrument, and impact assessment in June 2019. The FCA also published a consultation and detailed cost-benefit analysis on their proposed regulatory rules for the pre-paid funeral plan sector in March 2021.

In January 2021, the government legislated to bring all pre-paid funeral plan providers and intermediaries within the regulatory remit of the Financial Conduct Authority (FCA) from 29 July 2022. This has ensured that, for the first time,1.6 million funeral plan customers are protected by compulsory and robust regulation.

The government consulted widely on the regulation of pre-paid funeral plans. It published a consultation, draft statutory instrument, and impact assessment in June 2019. The FCA also published a consultation and detailed cost-benefit analysis on their proposed regulatory rules for the pre-paid funeral plan sector in March 2021.

In January 2021, the government legislated to bring all pre-paid funeral plan providers and intermediaries within the regulatory remit of the Financial Conduct Authority (FCA) from 29 July 2022. This has ensured that, for the first time,1.6 million funeral plan customers are protected by compulsory and robust regulation.

The government consulted widely on the regulation of pre-paid funeral plans. It published a consultation, draft statutory instrument, and impact assessment in June 2019. The FCA also published a consultation and detailed cost-benefit analysis on their proposed regulatory rules for the pre-paid funeral plan sector in March 2021.

In January 2021, the government legislated to bring all pre-paid funeral plan providers and intermediaries within the regulatory remit of the Financial Conduct Authority (FCA) from 29 July 2022. This has ensured that, for the first time,1.6 million funeral plan customers are protected by compulsory and robust regulation.

The government consulted widely on the regulation of pre-paid funeral plans. It published a consultation, draft statutory instrument, and impact assessment in June 2019. The FCA also published a consultation and detailed cost-benefit analysis on their proposed regulatory rules for the pre-paid funeral plan sector in March 2021.

My local community is reeling from the discovery of 35 bodies and unidentifiable cremated ashes at a local funeral home. The pain was made worse when people realised that the funeral plans they had used their life savings for were fake. Does the Prime Minister agree that in these unique and limited circumstances banks should offer discretion when deciding if chargeback applies to payment refunds?

I express my sympathies to the families affected by the case that the hon. Lady raises. I believe the Ministry of Justice is urgently looking at the matter. I will ensure someone gets in touch with her as soon as possible.

In January 2021 the government legislated to bring all pre-paid funeral plan providers and intermediaries within the Financial Conduct Authority’s regulatory remit.

The FCA has extensive experience of both conduct and prudential regulation. As part of its regulation of the sector, the FCA have introduced requirements that ensure that funeral plan providers have sufficient funds to fulfil the funeral plan contracts they have entered into.

This includes rules that require funeral plan providers to:

• place sufficient funds to provide any agreed upon funeral in a trust or insurance arrangements;

• have systems and controls in place to ensure the adequacy of those trust and insurance arrangements and to ensure that pricing does not lead to insufficient sums being available to provide the agreed upon funeral; and

• consider the risk of inflation and volatility of trust assets when assessing the sums needed to provide for the funeral.

The government recognises the difficulty and challenges facing those who have lost money because their funeral plan providers have been shown to be unable to fulfil the promises they made to their customers.

In January 2021, the government legislated to bring all pre-paid funeral plan providers and intermediaries within the regulatory remit of the Financial Conduct Authority (FCA) from 29 July 2022. This has ensured that 1.6 million funeral plan customers are, for the first time, protected by compulsory and robust regulation.

The two largest providers that have gone into administration since the government legislated are Safe Hands, with approximately 46,000 customers and One Life, with approximately 14,000 customers. We also understand that some smaller providers have entered administration.

During a wide-ranging meeting with industry in July 2017 to discuss pre-paid funeral plans, some concerns about Safe Hands funeral plans were raised with HM Treasury.

In response, officials advised that such concerns should be reported to the FCA, reflecting the fact that HM Treasury has no investigatory or enforcement powers of its own.