The Swedish Competition Authority proposes legislative changes to regulate the operation of church-owned funeral homes

Following complaints, the Swedish Competition Authority has investigated whether Håbo parish has violated competition rules in a way that distorts and restricts competition by offering services in the funeral home market through its funeral home, the Church's Funeral Home in Håbo.

The Swedish Competition Authority concludes that intervention against Håbo parish and the Church's Funeral Home in Håbo under the Competition Act is likely not possible. Therefore, the investigation has been closed. At the same time, the investigation highlights more overarching problems that may arise when Swedish Church parishes operate funeral services. According to the Swedish Competition Authority, the funeral homes operated by the parishes have competitive advantages in the funeral home market due to the special rights and obligations that the church has, including those under the Swedish Funeral Services Act.

To encourage competition in the funeral home services market, the Swedish Competition Authority therefore proposes that the government commission an investigation into amendments to the Funeral Services Act to regulate the operation of church-owned funeral homes.

“The Swedish Competition Authority is tasked with identifying obstacles to effective competition and, if necessary, proposing changes to existing regulations. Our recent investigation shows that church-owned funeral homes have certain competitive advantages due to their statutory mandate, which can distort competition with private firms. Therefore, we propose regulation in law regarding the conditions for church parishes to conduct funeral home activities,” says Rikard Jermsten, Director General of the Swedish Competition Authority.

The Swedish Competition Authority proposes, among other things, that the expenses of church funeral homes should not be allowed to burden either the church fee or the funeral fee. Church-owned funeral homes should also have their own employed staff and premises, rather than just renting resources from parishes when needed, or at least correctly allocate the fixed costs of shared resources between the activities in a way that ensures competition neutrality. The Swedish Competition Authority also proposes that county administrative boards should be responsible for supervising compliance with the rules.

Johan Sahl, Head of Unit, +46 (0)8-700 16 22, johan.sahl@kkv.se
Marie Strömberg Lindvall, Press Officer, +46 (0)76 542 15 92, marie.stromberglindvall@kkv.se

Read the proposal (in Swedish)

Read the decision (in Swedish)