TradeRisks arranges debut £50m funding for Church of England Pensions Board
The Church of England Pensions Board has entered into a £50m loan agreement arranged by TradeRisks to provide the finance needed over the next 3-4 years to assist clergy with their retirement accommodation. It is envisaged that further tranches of finance will be arranged in the future to enable the scheme to continue.
The loan facility was arranged by TradeRisks which also advised the Board on its options for financing the scheme.
The loan will enable the Board to continue to provide assistance to clergy through the existing CHARM (Church Housing Assistance for Retired Ministry) scheme where they have been unable to make their own provisions. Assistance is available on two bases; houses for rent and a shared ownership scheme for clergy with capital to invest in their retirement accommodation. Around a third of retiring clergy currently make use of the CHARM scheme (around 100 per year).
The loan facility with Santander replaces the facility which has been provided by the Church Commissioners since the inception of the scheme in 1983.
Shaun Farrell, the Board's Chief Executive, said today
"I am delighted that we have been able to secure new financing for the scheme which represents an important part of the overall remuneration package offered to clergy when they enter ordained ministry. This is especially important at a time when we are having to review the clergy pension scheme to make it affordable for the future.