An update from Nick Richards on 2020 finances
“Money!”
Well, what did you expect I was going to talk about?
As a church we rely on donations for 90% of our income. The rest is from renting out the church all, plus a small amount of fees for weddings and funerals. The cost of maintaining our buildings, heating, lighting, refuse collection, insurance, our contribution towards the running of Winchester Diocese (who pay Andy’s salary), and staff salaries must all be met from our income. In addition we donate about 10% of our income to various charities.
A few figures …
Our income last year was £148,000, compared with £166,000 in 2019, down £18,000. We had £27,000 less donations, including gift aid, and £7,000 less rental income. Additional income of £19,000 furlough payments was received. Our expenditure was reduced by £20,000 to £148,000; we actually ended the year with £8 less in our current account than when we started.
This balancing act was only achieved by significant cuts and a government subsidy. No one has had a pay rise, our office administrator Tanja left and has not been replaced. Our payments to the diocese’s Common Mission Fund (CMF) have been reduced. The CMF amount is calculated based on each church’s congregation size and the relative affluence of the parish: for 2020 it was assessed at £73,000, of which we paid £36,000.
So, I would encourage you to review your giving. Although the church building is not open, we still have significant costs to meet and our income has decreased. Fortunately many of you give by bank transfer via the Parish Giving Scheme (PGS) or by standing order, so we have continued to receive donations despite not having physical collections every Sunday. We can now also receive donations online by card. I would encourage everyone who can to use the PGS – even if you are not eligible for gift aid or you have a standing order. The PGS means we receive the 25% gift aid uplift immediately and allows giving to be increased by inflation each year. This all makes our finances simpler and more secure. However, not everyone is comfortable with these methods, so if you are a traditional giver, please do not think you need to change.
If you have ideas to share about our finances or would like more information, our Annual Parochial Church Council Meeting will be held in April and we would encourage you to attend.
Nick Richards, treasurer
