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Former British prime minister Margaret Thatcher will receive a "ceremonial funeral" with military honours, Downing Street said on Monday.
A ceremonial funeral is only marginally different from a state funeral, which are afforded to monarchs and rare notable individuals.
The last such funerals were for queen Elizabeth, the queen mother in 2002 and for Diana, princess of Wales in 1997.
"Downing Street can announce that, with the Queen's consent, Lady Thatcher will receive a ceremonial funeral with military honours. The service will be held at St Paul's Cathedral," Prime Minister David Cameron's office announced.
A private cremation would follow later, it said.
The last state funeral for a non-royal was that of wartime prime minister Winston Churchill in 1965, which was also held at St Paul's Cathedral.
Among previous state funerals were those afforded to war heroes Horatio Nelson (1806) and the Duke of Wellington (1852).