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<p>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.</p><p> </p><p>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.</p><p> </p><p>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.</p><p>
</p><p>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.</p><p>
</p><p>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.</p>
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