THE Opposition and industry stakeholders say it is only a matter of time before another grieving family is ripped off by a funeral director.

Operators have been using three tactics to financially exploit families for decades, records show.

The tactics used by funeral directors include coffin swapping, cremation shopping and accepting contracts worth one cent to become government undertakers at emergencies.

Being a government undertaker gives funeral directors access to grieving families.

LNP attorney-general spokesman David Janetzki has backed calls for a formal inquiry. He has questioned how the industry can remain unregulated.

"Something has to be done. The industry itself wants to stamp out these dodgy operators and they've got no support," Mr Janetzki said.

The State Government has said it was open to feedback on the industry but would not commit to a formal inquiry.

Mr Janetzki will meet with the Queensland Funeral Directors Association this weekend in Toowoomba.

President Anton Brown said the industry could not keep going on this way. "There must be a code of ethics," he said.