Money matters

If your death does not bring tears of sorrow to the eyes of those you leave behind, the eye-watering cost of your funeral might do it.

The expenses incurred following a bereavement have soared by 10.6 per cent in one year, to £8,427, according to the latest annual report by insurance company Sunlife.

The figure, which includes costs such as probate, headstones and flowers, together with the funeral service itself, has seen the biggest increase in six years, equating to a rise seven times the rate of inflation.

In the South East, the cost of a funeral alone in 2014 was £3,074, a rise of 4.2 per cent on the previous year and slightly above the average of £3,590.

The figure is expected to increase to £4,489 by 2019, the report said.

One in seven of the proportion of people (14 per cent) who have organised a funeral in the past four years said it caused them financial concern, with the average shortfall between the amount allocated and that spent standing at £2,371.

Of this group, 42 per cent used savings or investments to help pay for the funeral, a quarter borrowed money from friends or relatives and 22 per cent put extra debt on a credit card.

With funeral costs set to continue rising, planning ahead for your departure is more important that ever.

Talking to family members about your final wishes, putting money aside and taking out a funeral payment plan can help to reduce the stress and financial burden for those who are left behind.

Advice to count on

The Money Advice Service has lots of tips on how to cope with funeral costs. Here are some of its recommendations:

People on a low income and claiming certain types of benefits may be able to get help with funeral costs from Social Fund.

Cremation is a cheaper option than a burial, so discuss with your family whether this would be acceptable.

Funeral costs can vary, so compare quotes from several funeral directors, caterers and florists before making your choice.

When looking for a funeral director, choose one from either the National Association of Funeral Directors or the Society of Allied and Independent Funeral Directors. These businesses operate under an established code of practice and have a proper complaints procedure if everything is not done to your satisfaction.

Do not feel pressurised into spending more thatn you want to or can comfortably afford. A simple funeral, without all the frills and extravagant hospitality, can be as dignified and fitting as one which costs a lot more money.

For more information see www.moneyadviceservice.org.uk