Profits plunge at funeral provider as it warns of impact of CMA investigation

Profits has dropped dramatically at listed funeral firm Dignity after a fall in the rate of deaths in 2019.

Unaudited results at the company show revenues were down by 5% to £301.3m, while profits shrunk by 31% to £37.7m.

Last year, the Competition and Markets Authority started investigating the funerals and crematoria sector – a move that was welcomed by Dignity – examining how customers are treated at a time when they are vulnerable to anti-competitive practices.

Clive Whiley, chairman of Dignity, said: “2019 witnessed a year of unprecedented change in the funeral industry. Whilst we were pleased with the progress we made and the financial performance we delivered in light of the competitive environment, we need to be cautious in the coming months until the CMA’s conclusions are finalised.

“Their report could materially impact the industry and the size and shape of our business. We are therefore for now, delaying key aspects of our Transformation Plan. However, the need to maintain the highest levels of customer service through modern, efficient ways of working remains.”