After a year of declining asset values, the Church Commissioners have reassured Church of England dioceses that they still intend to continue their present level of support at planned levels through to the end of 2010.
In a letter sent today to all those chairing Diocesan Boards of Finance, Andrew Brown, Secretary to the Church Commissioners, explains: “We intend to continue our present level of support for dioceses at planned levels through to the end of 2010.
"We can do this because for several years we have operated, with the support of our actuaries Hymans Robertson LLP, a smoothing arrangement in terms of distribution by paying out less to dioceses than we might have done in good years in order to keep something in hand to cover leaner years.
"Our audited results are expected to show a negative total return of around 22 per cent in a year when the total returns of the FTSE100 fell by almost 30 per cent.”
He said the Commissioners hoped to keep up the same levels of support but said their position would be reviewed at the end of 2009 when conditions will be re-assessed.
“The actuaries’ recent desk-top exercise suggests, further, that we hope to be able to maintain the current level of support for dioceses in cash terms into 2011-13, even if there are some further falls in the markets, but we make no commitment at this stage," he said Mr Brown.
The Church Commissioners contribute around 15p in the pound to the cost of the Church of England’s mission – most of the balance comes from the generous giving of today's parishioners.
The Commissioners manage an investment portfolio derived from the Church’s historic resources that includes stock market investments, and commercial, residential and rural property investments. They look after this as a long-term resource for both current and future generations balancing their needs in all of their decision-making.
