REG - Dignity PLC - “intending to authorise” status from the FCA

DignityAnnouncement

17/06/2022 07:30

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RNS Number : 2697P  Dignity PLC  17 June 2022

LEI: 21380049687CNAYKV483

 FOR IMMEDIATE RELEASE  17 June 2022

 

Dignity plc
("Dignity")

 

FCA REGULATION OF THE FUNERAL PLANS SECTOR OUTCOME

Dignity receives "intending to authorise" status from the FCA

Dignity plc, the UK's leading provider of end-of-life services and one of the
largest providers of funeral plans, is pleased to announce that the FCA has
confirmed that it is "intending to authorise" Dignity Funerals Limited as a
regulated entity under the new regulatory regime for pre-paid funeral plans.

From 29(th) July 2022, funeral plan providers in the UK must be regulated by
the FCA to continue to sell or carry out funeral plans. The statutory
oversight follows several years of campaigns, Government calls for evidence,
and formal consultation with the funeral industry.

The regulations set out by the FCA are designed to make products work better
for consumers, to create competition, and enable a stable marketplace. Once
the regulations come into force in July, companies that want to continue to
sell or carry out funeral plans must be authorised by the FCA and conform to
its rules, or risk committing a criminal offence.

Dignity has engaged with the FCA throughout its process and supports the
regulatory framework implemented across the market.

Kate Davidson, Chief Executive Officer, said: "We are delighted to announce
that Dignity has received confirmation that the FCA is "intending to
authorise" our company under the new regime. We have long called for
regulation of the funeral plan sector. We believe it will deliver greater
transparency and protections for customers, whilst also paving the way for
greater confidence in funeral plans as a good product that helps people plan
and pay for their funeral in advance.

There has been a huge strategic and operational effort within Dignity to
deliver the comprehensive evidence required by the FCA for us to achieve this
authorisation. The regulation impacts almost every corner of our business;
from compliance and governance, an enhanced focus on customer vulnerability
and consumer redress processes, training and people development, as well as a
new approach to how we market and sell our product.

We are proud of what we have achieved to date and recognise the responsibility
Dignity has as a market leader to ensure we not only continue to deliver the
high standards expected by the regulator, but strive to exceed them. This
includes an exciting and innovative new proposition that we will be launching
over the coming months that will deliver a flexible, competitively priced and
modernised customer experience.

Today's announcement will provide Dignity's own customers with reassurance
that they hold a plan with a trusted and reputable provider, backed by a
secure and well-managed trust fund. We recognise that this isn't the case for
customers of those providers that have failed to meet the requirements set out
by the FCA or have elected to exit the market. We stand by our commitment to
help customers of other plan providers where we can, and as we have with the
customers of Safe Hands, we will engage with those firms on a case-by-case
basis.

I would like to thank everyone who has helped secure this result, in
particular, our colleagues, stakeholders and shareholders for their continued
support. We look forward to providing a further update after the 29(th) July
when FCA regulation commences."

ENDS

NOTES TO EDITORS

Dignity Funeral Limited, part of the Dignity plc group, will be the regulated
entity for the sale and administration of funeral plans. The customers of
Simplicity Cremations and AgeCo plans will also be covered by this regulated
entity.

For more information

John Castagno, Chairman

Tim George, Company Secretary

Dignity plc

+44 (0)20 7466 5000

Media contacts:

Buchanan

Chris Lane

Hannah Ratcliff

Verity Parker

Dignity@buchanan.uk.com (mailto:Dignity@buchanan.uk.com)

+44 (0)20 7466 5000
www.buchanan.uk.com (http://www.buchanan.uk.com/)
 

 

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