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Edited text of presentation given by Chairman of the Board of Finance, David Froude, to members of the Diocesan Synod, at their meeting on 15 November 2008 and at which the Budget for 2009 was approved. |
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Slide 1
Members of Synod, you’ve all received a copy of our budget proposals, the process we followed and the results the Bishop’s Council recommends to you at this Synod, so I plan to summarise the actual proposals very briefly and then move on and talk about important aspects of the budget, parish share and our giving.
Slide 2
To Summarise in 2009
Total Expenditure £7.9m
Income £7.9m
Leading to a small Deficit £9.6k
Share to be requested £6.0m
Share will be requested from Parishes as a 2.5% flat increase on last year
Slide 3
How is it all made up? Rather than give absolute figures, we have broken down each £1 of expenditure
Our proposals for expenditure are in total a 4% increase over the total for the current year, and as you can see – the majority of our expenditure is on clergy and their housing. (First two lines - 67p)
We have very little control over the degree by which a very large proportion of the expenditure increases.
The other areas of the Budget, reflecting all the work done by all the other Boards & Committees, (last 6 lines) make up 33p about one-third of the total expenditure of the Diocese.
ABBREVIATIONS:
ISR - Industrial and Social Responsibility
Ministry Development
DAC - Diocesan Advisory Committee – consulted on all development, building and faculty activity
Ecumen - Ecumenical
Comms - Communications
Slide 4
Where does the income come from? Again, £1 broken down
Moving on to income, I do want to spend just a minute reflecting on Share, firstly because it is such an important part of our income, as you can see, a little over 3-quarters of the total.
We thanked every church, parish or benefice for what they gave in 2007, regardless of whether that was what we asked of them or not and I would like to assure you that we never tire of saying “thank-you”.
But we do have to recognise that 8.5% of the total requested for 2007 was not forthcoming, and that is why we have started to review the Share allocation system.
We are at a very early stage in that process, so I can only report that we have started. But we are determined that the allocation system is as fair as we can possibly make it.
The remaining 25% of our income comes from a variety of sources, as you can see from the slide and about which is covered in your papers.
Slide 5
And now, as promised, some thoughts to share with you about giving, and firstly giving for the whole of the Church of England.
This first graph shows how giving has increased over the last 25 years or so and shows the average weekly giving actually increasing from just over £1 in 1981 to nearly £9 in 2006. That’s the solid blue line; the dotted red one allows for inflation. It would have been £3.50 in 1991. So that’s £3.50 in 1991 up to nearly £9 in 2006.
So in real terms giving has increased substantially. But it has had to, given the move from clergy being funded to a large part by the Church Commissioners to being funded now by those who sit in our pews, us.
Slide 6
And another measure, and this confirms the picture from the first one, that giving is growing. This time we’re looking at giving as a percentage of income, moving from a little under 1% in 1981 to about 3.25% in 2006.
BUT the Church of England recommends 5% of gross income is given to your local or parish church, and the remaining 5% of your tithe to other areas or Christian charities of your choice.
This makes up the 10%, or tithe, which is our biblical guide to giving.
This is where the challenge sometimes starts for many of our parishioners.
You may find that the 80/20 rule or similar applies in our parishes. Some 20% give 80% of the giving total. In a generous parish I know, the 80/20 rule is moving towards 60/20 – 20% giving 60% of the giving total. Sharing the burden wider – but in most areas there is much room for teaching on giving, and often potentially plenty of capacity for change.
Slide 7
So what does that tell us about giving and where we as a Diocese should be looking to go in 2009 and later years?
I think there are 4 key tasks for parishes and I although I aim my comments more at those who are at present unable to meet the Share request, this applies to all parishes.
From the Diocese, we can offer you help.
Bishop Mike has trained and resourced a small team of people (of which I am one), who are happy to come to you and preach at a service, or talk and teach at another time to encourage a greater understanding of Christian Giving.
I am happy to offer my services to you personally, or alternatively you can approach Bishop Mike’s office which organises the team of speakers.
Slide 8
Where are we today with all the changes, ups and downs?
• Credit Crunch - a phrase we have become all too familiar with
• Giving - we must acknowledge that it may lead people to restrict their giving
• Uncertainty of Employment
• Uncertainty of Inflation – but recent figures??
• Uncertainty of Interest Rates? But… 3% Base rate as low as it has been in the last 50 years (mortgage outgoings should generally be lower)
• Recession – the trend is downwards both in the UK and many other countries of the world
• Plenty of Government and Opposition arguments this week as to the best means of encouraging defeat of the recessionary trends!
Slide 9
Step 1 Survival
This might be described as - I do my bit when I am asked to help …but is this enough?
Step 2 Shopping
This might be described as - I pay for the bits I enjoy and find meaningful …but is this enough?
Step 3 Support
The Church is important and I will give it my support …but is this enough for me?
Step 4 Subscription
I see myself as a member paying my dues …but is this enough for me?
Step 5 Submission
Really - I am trying to be a good disciple with all that it involves …but is this enough for me?
Step 6 Sacrifice
Really - I am called to be Christ-like and do my best to act accordingly.
Where are you? And is it time to take another step?