21 March 2005

CHURCH COMMISSIONERS

Listed Places of Worship Grant

7. Miss McIntosh: To ask the hon. Member for Middlesbrough, representing the Church Commissioners pursuant to his oral answer of 21 February 2005, Official Report, column 20, what the take-up of the listed places of worship grant scheme has been in the last 12 months. [222797]

Sir Stuart Bell: 6,907 applications for VAT refunds have been made under this scheme since 1 April 2004 and roughly £6.5 million has been paid out, of which about 90 per cent. relates to Church of England places of worship.

The Church is extremely grateful to the Chancellor of the Exchequer for extending the scheme until 2008 in his Budget.

As the estimated annual spend on repairs and maintenance is nearly £100 million, there may be some parishes failing to claim. A proportion of repairs cover items which do not qualify under the scheme but there is still a strong suggestion that eligible works are being carried out on Church of England listed church buildings and no application is being made for a VAT refund.

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The C of E VAT Group is urging all parishes who have undertaken repair works to listed church buildings costing in excess of £1,000 to make a claim for the VAT refund on completion of the works.

Tourism

Mr. Ben Chapman: To ask the hon. Member for Middlesbrough, representing the Church Commissioners if he will make a statement on the Church Commissioners' policy on the encouragement of tourism. [222794]

Sir Stuart Bell: Cathedrals and churches are a major draw, not just in their own right but also as the part of the wider communities they serve. Making churches open and accessible raises challenges but congregations are responding with increasing professionalism, aided by advice from national and regional initiatives.

Residential Estate

6. Simon Hughes (Southwark, North and Bermondsey) (LD): What plans the Church Commissioners have to sell parts of the residential estate.

Second Church Estates Commissioner (Sir Stuart Bell): The commissioners have entered into discussions with several specialist housing providers with a view to selling the freehold of some of their London residential properties. Tenancy agreements in the event of such sales will not be affected. The commissioners have informed tenants of the discussions taking place, and will communicate with them and other interested parties throughout.
 

Simon Hughes: Will the hon. Gentleman, first, tell me either now or later by letter which residents in Southwark would be affected by the proposed change of landlord? Secondly, will he ensure that he passes on to his colleagues the fact that it would be entirely unacceptable if a transfer of landlord from the Church Commissioners to somebody else resulted in tenants being in any way financially disadvantaged?

Sir Stuart Bell: I can inform the hon. Gentleman that the discussions that are taking place relate to 480 properties in Stoke Newington, Maida Vale and part of the Waterloo estate, which might be in his constituency. I will be happy to check out the exact figures for his constituency. The commissioners believe that what we are doing will be a good deal for tenants, because unlike the commissioners, the likely new owners are expected to be focused housing providers who are able to invest in the properties for the long term. The commissioners have a wider investment portfolio and a duty to deliver the best possible return in order to help fund the work of the Church

Church Finances

4. Hugh Bayley (City of York) (Lab): What steps the Church Commissioners are taking to ensure good management of the Church's financial affairs.

Second Church Estates Commissioner (Sir Stuart Bell): In the first instance, by appointing the Second Church Estates Commissioner so that he can be answerable to the House. In the second instance and in relation to those Church funds which commissioners manage and which stand at £4 billion, by maintaining a balanced investment portfolio with annual review of asset allocation.

Hugh Bayley: Now that the Charities Bill has passed through this place and is being considered by the other place, can my hon. Friend assure me that the financial affairs of Anglican cathedrals will be better managed in future, to avoid the sort of problems that arose with Bradford cathedral recently when its insolvency left a number of my constituents, who worked for a company called Past Forward, unpaid for work that they had done for the cathedral?

Sir Stuart Bell: I am grateful to my hon. Friend and congratulate him on his interest in Bradford cathedral on behalf of his constituents. He and I had many meetings at that time. As I explained to him then, cathedrals are independent bodies, governed by the Cathedrals Measure 1999, so the commissioners' remit does not run to their supervision or to accepting liability on their behalf.

On the Charities Bill, let us hope that it enters the statute book before the Dissolution of Parliament, whenever that comes. In the meantime, my hon. Friend will know that the commissioners have had helpful talks with the Home Office on the Charities Bill and are satisfied with it.

Chris Bryant (Rhondda) (Lab): Does my hon. Friend accept that good management of the Church's finances also means ethical investment so that every investment using dead men's money, which largely subsidises the Church's activities, is made on the basis of sound ethical investment, without investment in companies that are involved in the arms trade or are poor employers in this country?

Sir Stuart Bell: The commissioners' investment policy is of long standing. It is an ethical policy and we do not invest in breweries, cigarettes or arms, as my hon. Friend knows. We are keen on corporate governance and look at companies' corporate governance. We even have corporate governance within the commission. His point is well taken and is in line with our policy. We have an ethical policy on investment and that will continue, although it is, like all our policies, reviewed from time to time.

Churches/Cathedrals (Accessibility)

 Michael Fabricant (Lichfield) (Con): What guidelines are given by the commissioners to the councils of churches and cathedrals concerning the accessibility of such buildings to people other than those wishing to worship

Second Church Estates Commissioner (Sir Stuart Bell): The commissioners recognise that our churches and cathedrals are not just for worshippers; they attract millions of visitors, generating £91 million a year for the economy and supporting 2,600 jobs. Our cathedrals and churches bring educational, musical, artistic and community activity, as well as the spiritual. The commissioners are therefore happy to encourage such accessibility.

Michael Fabricant: Would the hon. Gentleman be surprised to hear that, in Lichfield cathedral, for example, there were 83 concerts last year? Some 5,000 people attended those concerts and recitals and a further 10,000 people came to the Close in Lichfield to visit the mediaeval market. [Hon. Members: "Hear, hear!"] Does the hon. Gentleman agree that there needs to be some co-operation between cathedrals so that best practice can be adopted?
 
Sir Stuart Bell: I am grateful to the hon. Gentleman for his question, and the applause that he received from those around him would indicate that he may have some difficulties at the general election. I presume that that is not necessarily the case.

As the hon. Gentleman will know, I visited Lichfield cathedral last year, and I listened to a concert and also saw many mediaeval books in the library. It was a significant and impressive experience. Certainly, the cathedrals would wish to work together in best practice, but when we see people coming to our churches and cathedrals for purposes other than worship, we enjoy the idea that they might also participate in the worship—but not in the middle of a Mozart concert.