George and Mary are in Everton in 1871 and he's a painter
RG10/3822/78/2
George J B Pegg age 27, decorator & painter
Mary age 25, wife born Oldham
Lydia age 5, born Liverpool
Joseph age 2, born Liverpool
John age 1 month, born Liverpool
I found Arnold's grave in Skerton Cemetery but cannot attach photo as you can't do attachments in the Requests board for some reason.
Skerton Cemetery, section B, row 4, grave no. 19
"In ever loving memory of
Arnold Pegg
beloved husband of
Eliza Ann Pegg
died 2nd Sep 1961
aged 74 years
Also the above
Eliza Ann Pegg
died 31st Aug 1962
aged 74 years"
You could try emailing the cemeteries department to ask if anyone else is buried there, not recorded on the headstone.
http://www.lancaster.gov.uk/environmental-health/cemeteries/advice-and-information/
click on 'Morecambe Town Hall' for contact info
You could also try emailing St Luke's church to see if they have grave registers and could they tell you if anyone else is buried with George Pegg and Mary Pegg her parents.
http://www.achurchnearyou.com/wwwstlukes-skertoncouk/
St Luke' burial registers up to 1928 have gone to Lancashire Archives, so they may have hung on to later ones and/or grave plans.
:) Barbara