Council fines funeral firm more than £100,000 over performance failings
Rotherham Council has fined its bereavement services contractor more than £100,000 in the past year after it failed to meet a number of performance targets, councillors have been told.
A report presented to the Improving Places Select Commission shows Dignity Funerals Ltd was issued with £107,580 in financial penalties during 2024/25 under its long-term contract to run the borough’s cemeteries and crematorium.
The penalties relate to shortcomings in areas including planned maintenance, grounds upkeep and delays to expanding burial space, rather than the conduct of funerals or day-to-day care for bereaved families.
Kim Phillips MBE, business manager for Dignity, told yesterday’s (Dec 16) meeting: “I believe Dignity and the council have worked effectively to support the Rotherham community for bereavement services.”


Under the 35-year contract, performance is measured against a detailed set of targets. The report shows Dignity did not fully meet targets linked to the condition of paths and footways at several cemeteries, drainage and water run-off issues, and progress on planned maintenance works.
The report states that while immediate health and safety risks were addressed, longer-term repairs, particularly at Moorgate, Masbrough and Wath cemeteries were delayed.
The council has also pressed the company to bring forward plans to improve Muslim burial provision. Initial expansion work at East Herringthorpe Cemetery is nearing completion, with further phases planned to increase capacity in response to demand.
Despite the penalties, the report notes that customer-facing services remain strong. Nearly all funerals and cremations were delivered within agreed timescales, and feedback from families and funeral directors was described as overwhelmingly positive.
The report shows 36 complaints were recorded during the year, with 29 upheld, alongside 27 service requests and eight compliments. No major health and safety breaches or service failures were recorded.
Dignity says it is investing between £1.5m and £2m in improvements across Rotherham’s cemeteries and crematorium, including replacement cremators, chapel refurbishment and further burial space expansion.
Council officers told councillors the penalties form part of routine contract management and are intended to drive improvement. Since 2021, more than £830,000 in penalties have been levied against the contractor.
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