The Parish Finance Committee (PFC) held its regular quarterly meeting by Zoom on Tuesday 27th October 2020
Our finances have suffered significantly this year due to the Covid-19 pandemic and also due to the cost of the replacement of the central heating in St Joseph’s, which we had just committed to before the lockdown in March.
The cost of the central heating was £220,000, although we will recoup £37,000 of this through VAT refunds. This is significantly higher than the original estimate of £140,000, due largely to unexpected costs such as the provision of a new electricity supply from the other side of Windhill!
Both general income and expense have been hit by the church closures, with significant reductions in catechetics costs, liturgical expenses, candles and repository, parish activities and parish centre income. Unfortunately the Utility bills, Office, Administration and Housekeeping costs remain the same!
The effect on offertory income, which is our main source of income, has been particularly severe. Whilst 60 per cent of our offertory comes from standing orders, which have increased slightly, if the current situation continues, as we expect, to the end of the year loose plate will be down by £31,000 to £11,000, and envelope contributions will be down by £13,000 to £18,500.
Overall we are now looking at a deficit for the year of £207,000, compared with the budget of £162,000. Overall our finances are still relatively healthy and we do meet the diocesan guidelines of having one year’s expenses in our reserves, however we have had to (temporarily) transfer £75,000 from our Building / Savings account to the Parish Current Account to avoid this becoming overdrawn. We plan to start repaying this once we receive the VAT refunds for the Central Heating.
Whilst this update is NOT an appeal for funds and we do understand that many parishioners are living on reduced incomes, it may be that some parishioners could consider changing their method of contribution from loose plate or envelope to standing order, putting a contribution in one of those envelopes that are still sitting in the box and dropping it in or posting it to No. 3, or making a donation either on-line or by cheque through the post.
We look forward to seeing you back in church before too long and to a financially healthier 2021.
Chair of the Parish Finance Committee
