Duncan, who will leave Faithworks in January 2009, said his departure would not affect the movement's plans for the launch of a new Charities' Parliament, a new centre in Westminster to facilitate debate and interaction between the church, charity sector, Government and media. The 50,000 sq ft complex is scheduled to open later this year.
"With the development of the Charities' Parliament, I have taken the opportunity to consider my own priorities and sense of direction and decided that I want to focus my energies and ministry on encouraging local churches across the UK and beyond to remain committed to serving others in word and deed," he said.
"I believe that the time has come for someone else to take up the reins of the Faithworks Movement and to steer it through all that is required for making the Charities' Parliament the success it deserves to be.
"Faithworks has a vital role to play in helping local churches to continue to serve others. As I step aside as leader, I remain committed to the values and vision that unite all those who wish to make a difference in the lives of our local communities, and I will continue to support Faithworks."
Duncan's resignation comes amid major restructuring at Faithworks, after the movement lost a number of substantial income streams over the summer.
Faithworks founder Steve Chalke said, "Several months ago we became aware that a significant amount of income would not be continued.
"These changes have been hard but, at the same time, have forced us to focus our energy and resources in such a way as to ensure that Faithworks continues to support and facilitate its membership in their commitment to the transformation of local communities across the UK.
"It is doubly difficult that this comes in the wake of such an exciting and successful year, but in the current wider economic climate we are all facing difficult decisions.
"I am confident that this restructuring will put Faithworks in the best possible position to move into the future effectively and efficiently. I am also very grateful to Malcolm Duncan for all he has done in serving the movement thus far."
