Annual Report 2011 board of directors Rt Revd Michael Perham (President) Revd Canon John Wright (Chair) Rt Revd John Went Contents The Very Revd Stephen Lake (from June 2011) Page Ven Geoffrey Sidaway Year at a glance 4 Ven Robert Springett Richard Bach Message from Bishop Michael 5 Revd Skye Denno Revd Mark Evans Message from the Chair of the GDBF 6 Revd Canon Paul Harris (Retired March 2011) Revd Canon Neil Heavisides Achievements and activities 7 Canon Ian Marsh Our local role 7 Anthony McFarlane Revd Canon Richard Mitchell (Appointed March 2011) o Supporting clergy and discipleship 7 Revd Canon Dr Jennifer Parsons (Resigned March 2011) o Mission and Communications 8 Revd Jacqueline Rodwell Les Reilly o Securing our Church’s future 8 Tom Rucker o Caring for our communities and environment 9 Revd Helen Sammon Revd David Smith o Caring for our buildings 10 Graham W Smith o Encouraging children in Christian faith 11 Professor Jennifer Tann Revd Canon Celia Thomson The Diocese as part of the Anglican Communion 13 solicitor bankers Christopher Peak – Registrar Barclays Bank plc Performance and governance 14 Diocesan Registry 288 Britannia Warehouse 34 Brunswick Road The Docks Financial information 26 Gloucester GL1 1JJ Gloucester GL1 2YJ auditors investment managers Mazars LLP CCLA Investment Management Ltd Clifton Down House 80 Cheapside Beaufort Buildings London EC2V 6DZ Clifton Down Clifton, Bristol BS8 4AN principal officers Dr Kevin Brown – Secretary Benjamin Preece Smith – Director of Finance registered office Church House College Green Gloucester GL1 2LY Company limited by guarantee Registered number 162165 Registered charity number 251234 2 YEAR AT A GLANCE Year at a glance How have we done? Highlights from this year’s accounts number of stipendiary clergy funded 2011 2010 change 131 131 0 parish share contributions 2011 2010 change £5.6m £5.4m +3% general fund (ongoing) deficit for the year* 2011 2010 change £715k £851k -16 % balance sheet value (nett assets) 2011 2010 change £68.6m £70.4m -3% * Calculated as nett incoming resources before gains (£842k) less exceptional items (£127k) 4 MESSAGE FROM BISHOP MICHAEL MESSAGE FROM THE CHAIR OF THE GDBF Message from Bishop Michael Message from the Chair of the GDBF I recently had to sign off the accounts for one of the parishes of which I am the incumbent. I was amazed at There is so much about the Diocese of Gloucester that fills one with gratitude and gives one encouragement. how complicated charity law makes a fairly straight-forward set of accounts. I am therefore pleased at what Signs of growth in many of our churches, courageous and imaginative new ways of sharing the good news a good job has been done by our Director of Finance, and his staff, together with our auditors, in presenting and doing the work of ministry, talented staff at the centre, continuing vocations to the ordained ministry, the accounts of the Board of Finance, and especially for the excellent summary on the front page. a cathedral chapter with fresh energy, faithful and yet adventurous clergy and laity. The real summary is that the results for 2011 are better than 2010 but not as good as we had hoped and One thing, however, makes one pause and do some heart-searching. Why, among all these encouraging signs, expected. We are working to a plan to eliminate the deficit by the end of 2015. Some of the actions we have do annual accounts and budgets suggest we are living beyond our means? Will we not have to cut back on taken have borne fruit – a contribution of more than £250,000 from Good and Faithful Servant Ltd is one such, good work and reduce our contribution to the mission of God? The answer, of course, is partly that increased but there have been other items which have worked the other way. The continuing increase in pension costs, pension contributions are a huge challenge to the Church. And partly that our investments are suffering both clerical and lay, is a constant problem and we have no control over the costs of the clergy scheme. because of the economic climate. And partly because we have an expensive infra-structure across the Diocese more suited to an earlier age, one that we need to simplify and slim down to make fit for purpose. But also It is not the task of the Board of Finance to run the Diocese – it is our task to see that sufficient resources are because, whilst our levels of Christian giving through channels such as the Parish Giving Scheme are improving, provided to enable the mission of the Church in this Diocese to be carried out. Unfortunately a deficit can we are 39th out of 44 dioceses for Parish Share contribution per member. One of the lowest in the land. only be sustained for so long before that mission will be adversely affected. This means the deficit must be Places like Bradford and Liverpool have much to teach us about Christian stewardship. That is a sobering reduced now and eliminated entirely as soon as possible. statistic and a challenging one. There are two ways this can be done. Either income needs to increase or expenditure to decrease. We have My hope and prayer is that everyone who reads this report, with all its good news, will take up that challenge worked hard to improve income but the only significant source of extra income is the parishes. There is a plan in every one of our communities. It would be wonderful to add increasing financial commitment to the list of to increase the Parish Share over the next four years and most parishes are working to achieve this. If this is encouraging signs in the Diocese of Gloucester. not done the deficit will increase. The other side is to reduce expenditure. The substantial part of our expenditure is staff salaries so this will +Michael Gloucestr: mean employing fewer people. There are two myths which need to be rebutted. The first is that there is a vast pool of under-employed people in the Diocesan offices who can easily be taken off the payroll with few, if any, ill effects. The second is that groupings of parishes under one incumbent can continue to expand without that being felt by both incumbents and parishes (my predecessor had two parishes, I came to three and have added a fourth while here and there is now talk of two more being added after I retire). I am sure we do have to review our budgets this year and reduce our costs so that we get back on course to reduce the deficit to nil by 2015. It is important to realise that when we do this it will have an effect for both Diocesan offices and parishes, which will be felt. Sadly there are no pain free solutions. We are not alone in facing these problems. Almost every part of our country, government, business and charitable organisations is doing the same. We have to focus on working together to ensure that we continue the mission of Christ throughout our Diocese. And to seek God’s help in all we do. The Revd John Wright, Vicar of Tetbury and Chair, Gloucester Diocesan Board of Finance 5 6 ACHIEVEMENTS AND ACTIVITIES ACHIEVEMENTS AND ACTIVITIES In the complex area of employment responsibilities, Communication and engagement work has continued with parishes to help them The communications guide Messages was rolled resolve issues locally and to support them out more extensively during 2011 with over 10 practically with template documents, policies and benefices looking in detail and how they can engage processes which ensure they employ people safely Directors’ Report for the year ended 31 December 2011 more effectively with their communities and putting within their unique contexts and comply with individual parish and benefice communication plans ever-changing employment law. Achievements and activities in place. The Communications Department also continued Mission and Communications to develop and manage external communications, Our local role promoting the work of the Diocese of Gloucester Supporting clergy and discipleship Engaging with our parishes and communities locally and nationally. Diocesan publications kept A major focus for work in 2011 was completing the clergy and parishes informed on local, regional and The Department of Discipleship and Ministry The Effective Ministry in Every Parish Programme first Mission-Shaped Ministry Course to be offered international news and work continued on updating in the Diocese. Run over an academic year it aims An emerging priority for 2011was the carried out a pilot in three deaneries and work and improving the Diocesan website. strengthening of discipleship amongst all the people continues to refine the project responding to the to equip participants to grow fresh expressions of of God – clergy, laity, and church congregations. expanding responsibilities of clergy. church and to help existing churches become more A major survey on Discipleship Development mission-focused. Over 20 people took part in the Securing our Church’s future throughout the Diocese confirmed the priority Plans were laid in the course of the year for a new course, both lay and ordained, and representing a Developing Ministry: Leading in a Changing Church given to discipleship and so diocesan resources variety of traditions and contexts. The Parish Giving Scheme course, for those in the early stages of a new post. were developed and strengthened. The Parish Giving Scheme (PGS) is a donation The Diocese will be joining with neighbouring As part of this work, the Diocese also has a collection system operated by the DBF on behalf of It has again been an active year for those exploring dioceses of Hereford, Worcester, Birmingham, number of designated ordained pioneer ministers our parishes.