Introduction
A funeral prepayment plan is not an investment product but a secure way of paying for a funeral in advance. Each purchaser receives a guarantee that the services itemised in the plan will be provided when required by the participating Funeral Director and the Funeral Director is guaranteed payment for his or her work at an agreed price.
The assets of Funeral Planning Trust are legally separate from the assets of the company and the majority of the managing trustees are independent of the company. These safeguards were considered good practice when the trust was established but are now legal requirements under the Financial Services and Markets Act 2000.
It is reasonable for Funeral Directors and those people who purchase funeral plans to ask, how secure is Funeral Planning Trust? It is not surprising that more people have asked this question since the international financial and banking crisis in 2008.
The aim of this website is to provide the information necessary for readers to check for themselves and obtain reassurance.
Regulation of Funeral Prepayment Plans
Funeral Planning Services Ltd is registered with the Funeral Planning Authority, the regulatory body for the sale and administration of funeral prepayment plans in the UK.
The Funeral Planning Authority has a responsibility to monitor funeral plan companies and funeral prepayment funds to ensure security for the plan holders and funeral directors.
The audited financial statements of Funeral Planning Trust and an actuarial valuation of the fund are submitted annually to the Funeral Planning Authority.
Funeral Planning Services Ltd and Funeral Planning Trust comply with the requirements of the Financial Services and Markets Act 2000.
Find a Local Funeral Plan
To find a local funeral director who offers funeral plans which are secured by Funeral Planning Trust, click here.Important note concerning the Mayer Funeral Home in Westcliff-on-Sea, Romford and Southend. We do not administer funeral plans for this company, nor has Funeral Planning Trust received any funeral prepayments from them. Any implication that this company is supported by Funeral Planning Services Limited or Funeral Planning Trust is misleading.
Trust Status
Funeral Planning Trust was created by a deed dated 13 November 1995 and amended by supplemental deeds dated 18 February 2002 and 24 March 2003 and is governed by the rules therein.
The Funeral Planning Trust was established by Funeral Planning Services Limited to hold and invest funeral payments received by the company for the funding of funeral services. The funds are held by the trust until such time as they are required to pay for funerals.
The trust deed places a limitation on the company's entitlement to withdraw surpluses and also provides for an obligation on the company to make good any deficits within parameters established in the trust deed. Funeral Directors are paid for their services only after the funerals have been provided.
Payments into the trust fund
Clients are advised to make all cheques and bank mandates payable directly to Funeral Planning Trust. This ensures that the funds are always under the control of the trustees and kept separate from the assets of both the funeral director and the funeral plan company.