PARLIAMENTARY DEBATE
Listed Places of Worship Grant Scheme - 16 January 2025 (Commons/Commons Chamber)

The listed places of worship grant scheme provides support to religious communities with listed buildings by refunding the cost of VAT on repairs. The Church Commissioners view this scheme as an effective way to deliver transformational benefits to local communities, enabling restoration, repair and improved access. I welcome the support shown for the scheme by hon. Members across the House.

The listed places of worship grant scheme is essential to renovations and improvements being made by St Michael on Greenhill church in my constituency. Can the Second Church Estates Commissioner give any assurance to me and my constituents across Lichfield, Burntwood and the villages that this grant and Government support will be available to support excellent projects such as the creation of a new community hub?

I congratulate my hon. Friend on raising this issue. It is so important to ensure that our local churches are supported and that churches such as St Michael’s in his constituency can deliver the repairs they need so that they can continue to be a benefit to their communities. The National Churches Trust recently found that for every £1 of investment £16 is returned to the local community in the form of events facilities, warm spaces, food banks and so much more. He will not be surprised to learn that I have raised the issue of the listed places of worship scheme with my right hon. Friend the Secretary of State for Culture, Media and Sport, and I really hope that the Government are listening and will want to continue with this vital and essential scheme.

The construction of St Michael’s church in Linlithgow began in 1424, and it is a significant centre of worship in the newly formed parish of Linlithgow and Avon Valley. As a category A listed site, it has benefited greatly from the listed places of worship grant scheme over the years. Can my hon. Friend advise what engagement the commissioners have had with representatives of Churches in Scotland on the importance and effectiveness of the scheme?

I know that St Michael’s church in Linlithgow in my hon. Friend’s constituency is a beautiful medieval church with strong community links and engagement. Although I am accountable only for the Church of England, I reassure her that the Church is working closely with its partners in Scotland, as they too want clarity on the future of this vital scheme. I would be happy to put her in touch with the head of church buildings for the Church of Scotland if she so wishes.

St Ives church in Leadgate in my constituency is known as the miners’ cathedral. The building is full of heritage, but costly maintenance issues are threatening its very survival. The church has secured grants to fund temporary fixes, but a long-term solution is desperately needed. It tells me that reclaiming tax can make all the difference, so will my hon. Friend reassure me that schemes like that will continue to help churches such as St Ives?

I thank my hon. Friend for her question. I know that St Ives church is a cornerstone of that community, and I congratulate the congregation on the funding they have raised to stabilise some of the church’s structures. Grants from the buildings for mission fund are available from the diocese and may help with some of the future work. However, we all know the importance of the listed places of worship scheme, and I will continue to raise it with the Secretary of State. I hope that the Government are listening and will come forward, as the scheme is due to end in March, and we certainly do not want that to happen.

Over the past two years alone, Newport cathedral has reclaimed over £87,000 under the listed places of worship scheme. When it soon becomes necessary to repair the tower, at an estimated cost of £1.1 million, a further £220,000 in tax will be added to that bill, and if that cannot be reclaimed the project will be delayed even further. The cathedral provides crucial support to schools, charities, refugees and the homeless. Does my hon. Friend recognise the importance of the scheme not only in saving significant heritage treasures, but in preserving those vital services?

I absolutely recognise the importance of the scheme and the difference that the cathedral’s social impact projects are making in her community. I would be very happy to put my hon. Friend in touch with the director of property strategy for the Church in Wales, so that they can discuss this issue and, I hope, lobby together to ensure—to say it once again—that the scheme is renewed.

The withdrawal of the listed places of worship scheme disproportionately affects rural churches. In my constituency of Farnham and Bordon, six listed churches saved nearly £43,000 in the past financial year through the scheme. Directors of St Andrew’s in Farnham and of St Bartholomew’s and St Christopher’s in Haslemere have raised concerns with me this week about the oversubscribed nature of other grant opportunities, such as the National Lottery Heritage Fund, which combines heritage restoration under the same scheme as, for example, coastal protection in the Humber estuary. This dilutes the vital church funds needed for their heritage. Can the hon. Lady inform me how churches can be supported to preserve heritage in my constituency if the VAT relief for repairs is not reinstated?

I thank the hon. Member for the question. As he will have heard throughout this Question Time, we are keen to ensure that the listed places of worship grant scheme continues, because we can see not only the immense benefits it brings to our communities, but how it helps to alleviate some of the challenges of raising funds. It is important that all our heritage buildings, including our churches, are preserved and that adequate funding is available for them. I would be very happy, if the hon. Member wishes, to meet him to discuss this further.

The scheme was designed to address a perverse incentive in the VAT rules that favoured demolition and rebuild at a time when we were unable to change those rules. Post Brexit, we can now do so. Will the Church Commissioners draw that to the attention of those on the Treasury Bench?

Yes.

Will the hon. Lady therefore support my private Member’s Bill, which is coming up in March and is designed specifically to exclude repairs to listed places of worship from the VAT regime?

I will have a look at the hon. Member’s Bill.

I, too, want to refer to the land of Calvin, oatcakes, and sulphur—Scotland. In a village in my constituency where I used to live, there is a lovely old Church of Scotland church that has been bought by a former Member of this place. It is in bad condition and it is upsetting local people. Can best practice be shared north of the border with planning authorities and heritage organisations? I would be most grateful.

I will certainly share the hon. Member’s thoughts, but I am happy to write to him with further details on other spaces where he can get more information on how he can support schemes in his constituency.