In sum, the cap of £25k must be lifted and the scheme must be made permanent so that churches can plan for the future with confidence.

The debate in Westminster Hall outlined just how crucial churches are to local communities /7

Many churches rely upon the VAT exemption to persuade other funding bodies to provide monies to assist in vital works. Churches now risk losing out in competitive funding competitions to other projects. /6

Many other churches are making vital changes to improve accessibility and ensure environment sustainability. My own church receive a rebate in excess of £25k this year as a result of this work.

I worry these vital changes will be delayed or cancelled now /5

If you have £500k worth of building works, you incur VAT of 100k. That leaves 75k that churches need to find going forward.

That WILL lead to the cancellation of vital repair work in places that cannot afford the extra. /4

969 churches are on Historic England’s 2024 Heritage at Risk Register. Many are there because they need hundreds of thousands spent on them - e.g. re-roofing, structural problems with tower etc.

These churches are now even more at risk and this list will grow as a result /3

It is the major projects with VAT well in excess of 25k that most need this scheme to make them possible

Though true that most claims are <25k p/a, it is flawed logic to cap it because 'most' claims are below the threshold - it is the minority of big claims that matter /2

The terms of the renewal are far from ideal though - a cap of £25,000 would see most churches conducting major building works lose out. My church claimed quite a bit more than this this year.

Churches provide £55 billion a year of social and economic good (House of Good 2021)

120,000 people visited a warm space every week in 2023. Most are held in churches.

Churches host & run vital support – AA meetings, mental health support, toddler groups - that would cost NHS £8.4 billion p/a