Historic churches celebrate tax victory

The future of Wales’ historic churches is more secure following the Government’s decision not to cut a valuable grant scheme.

It was announced this week that the Listed Places of Worship Grant Scheme, which enables historic churches to reclaim tax on repair and restoration work, will continue beyond March 2011.

The scheme has been worth an estimated £5.3m to the Church in Wales over the past decade and is seen as vital to helping secure the future of its 1,000 listed buildings which face a collective bill of around £70m for repairs over the next five years. It gives a grant equivalent to the VAT rate on eligible repairs to Listed Places of Worship.

The Government’s decision follows an extensive UK-wide campaign by church leaders, local volunteers and politicians to continue the scheme beyond March 2011.

Alex Glanville, Head of Property Services for the Church in Wales, welcomed the news. He said, “This is very good news for congregations struggling to care for listed places of worship.  These buildings are maintained by local people who must plan and fund repairs through their own efforts – our parishes are perfect examples of the Big Society we hear so much about. This decision  recognises the key role local volunteer congregations play in maintaining their local heritage.”

However, he warned that the scheme was being reduced and, over the coming months, will not cover the repair of as many items as it does at the moment. He advised parishes to submit applications for work on those items before January.

He said,  “If parishes are planning to make a claim under the scheme for repair works to clocks, pews, bells, organs or professional services they must submit their claim by the end of 2010 (providing they have incurred the expenditure) as they will become ineligible in January.

“Until the end of 2010, it will be possible to claim the grant on a wide variety of repairs but after 4th January 2011, the items of eligible expenditure will be reduced. The grant will be payable, however, at the new rate of 20%.

“It is also understood that the grant will be subject to a reduced annual budget so it is possible that claims will not be paid if all of the budget has been spent in any one year.  The importance of getting claims submitted as soon as possible cannot be over emphasised.”

More details can be found at www.lpwscheme.org.uk

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