Coronavirus UK: Church of England in cash crisis with donations down 20%

The Church of England faces a financial crunch after seeing donations fall by 20 per cent during the pandemic with 5,000 of its 12,000 parishes now loss-making. 

Senior clergy also believe up to fifth of regular worshippers may never return once the crisis is over – and the number of paid priests could be cut by 20 per cent.

This could see the CofE try to recruit more unpaid clergy to reduce costs, although it already has 2,870 unpaid clergy and 7,370 retired clergy who still officiate. 

Churches were shut during the first and second lockdowns, and more than half have stayed closed during the third – although they are now legally allowed to open. 

With the average age of a CofE member at 61, the Archbishop of York is launching a new strategy later this month to attract more young and BAME worshippers.

Senior clergy at the Church of England believe up to fifth of regular worshippers may never return once the crisis is over – and the number of paid priests could be cut by 20 per cent

An internal report raised questions over the ‘sustainability’ of many local churches and a financial subsidy given to 5,000 loss-making parishes out of a total of 12,000.

The report, revealed by The Sunday Times, warned up to 20 per cent of regular worshippers may never return and dioceses are trying to ‘prune’ the number of staff. 

Sources said the number of paid priests could be cut by 10 to 20 per cent, as Archbishop Stephen Cottrell prepares to announce a transformation programme.

He is set to reveal on February 25 how the CofE can attract a younger and more ethnically diverse flock, and be a ‘Jesus-shaped church’ focused on the wider world.

However there are concerns among some traditionalists that the Archbishop is ‘cashing in on the coronavirus’ amid concerns for the network of 16,000 churches.

It is claimed there will be a management system imposed on parishes which will see assets such as vicarages sold and retained clergy given larger areas to run.

Churches were shut during the first and second lockdowns, and more than half have stayed closed during the third - although they are now legally allowed to open

Churches were shut during the first and second lockdowns, and more than half have stayed closed during the third – although they are now legally allowed to open

Writing in the Church Times today, the Archbishop said the Church will have to make ‘tough’ and ‘challenging’ changes to spread its clergy fairly across the 42 dioceses.

However he added that clergy are still needed to serve the CofE and are ‘are not being pushed out’ of their jobs to make up for the continued drop in income.

Archbishop Cottrell wrote: ‘It is highly likely that some dioceses are having to reduce the overall number of stipendiary clergy. No one wants to do this. But our key priority is to make sure that it is done prudently and sensitively. 

‘To put it simply: clergy are not being pushed out, but the preference seems to be that, as some retire and move on, some posts are not being filled.

‘Even without Covid, we have known for some years that there would be a big bulge of clergy retirements. We also know that, in some dioceses, particularly in the north, some posts have been hard to fill. We, therefore, still need clergy.’

The CofE and other Christian denominations moved wholesale towards online services after the Government first ordered churches to shut in March last year.

Reverend Lucy Winkett, of St James's Piccadilly in London, delivers an online service last May

Reverend Lucy Winkett, of St James’s Piccadilly in London, delivers an online service last May

But it is thought that some worshippers will not return after the crisis because they have adapted to online services and no longer wish to attend physically.

A Tearfund study also found a quarter of UK adults had watched or listened to a religious service since the lockdown began, and one in 20 had started praying. 

There has also been growth in the Alpha course, an introduction to Christianity, which has seen attendance triple at some churches compared to before lockdown. 

And research last July estimated online worship had attracted 200,000 to 300,000 people who were either completely new to church or had attended irregularly.

Included within this figure were between 100,000 and 200,000 people who intended to continue with worship either online or in-person, according to the CofE. 

But there are also others, such as the elderly or poor, who don’t have internet access and have therefore missed out on nearly a whole year of church services. 

The CofE study from last July also found between 100,000 and 200,000 of the pre-Covid worshipping community may not return once the pandemic is over. 

A socially distanced wedding takes place in a church in Aigburth, Liverpool, in July 2020

A socially distanced wedding takes place in a church in Aigburth, Liverpool, in July 2020

The CofE had seen its attendance halve in a generation before the pandemic and it now faces a huge challenge to attract more younger members to sustain its future. 

Parish-giving, which is the majority of its revenue, came to £1.1billion before the pandemic, but the lack of physical collections has seen this dramatically reduce.

In the Diocese of Chelmsford, where 61 clergy posts were made redundant last November, donations will be down by 20 per cent this year, reported the Spectator

However the ‘parish share’ – the money parishes share with the diocese – was down by 8.1 per cent on the previous year in aggregate at the end of November 2020.

The CofE has also said regular planned giving through direct debit or standing order appears to be withstanding the pandemic better than other parish income.

Data released by the CofE last October for 2019 showed fewer than 700,000 people turned up for Sunday services after congregations fell 14 per cent in a decade. 

Apology: Jarel Robinson-Brown appeared to dismiss the work of the Covid fund-raiser, whose efforts were praised by all political leaders and the Archbishop of Canterbury

Reverend Jarel Robinson-Brown, from a prominent CofE parish in London, yesterday condemned the commemoration of Captain Tom Moore as a ‘cult of white British nationalism’

Meanwhile, a clergyman from a prominent CofE parish yesterday condemned the commemoration of Captain Sir Tom Moore as a ‘cult of white British nationalism’.

Reverend Jarel Robinson-Brown appeared to dismiss the work of the war veteran, whose efforts were praised by all political leaders and the Archbishop of Canterbury.

The cleric, newly appointed to a prestigious post by the Bishop of London, added that he would not join last night’s national clap to mark the passing of Captain Tom. 

The intervention appeared to undermine the CofE and its handling of the Covid crisis at a time when its leaders have faced criticism for their willingness to shut churches.

Reverend Robinson-Brown, a former Methodist minister, was last month appointed as a curate at the oldest church in the City of London, All Hallows By the Tower.