YOUNG Guernsey vicars may be left out of pocket when they retire because shares in which the Church of England’s pension scheme invested have collapsed.
Clergymen may receive less than half the pension of those currently in the role when they retire – and the news could be even worse for those in the Channel Islands.
‘It’s already half of not very much. We are very, very worried about it,’ said the Dean of Guernsey, the Very Rev. Canon Paul Mellor.
‘The pensions problem is something that has hit a lot of institutions, but it has hit the church particularly hard.’
The Church of England put all its investments into stocks towards the end of the 1990s.
Mr Mellor (pictured) said the falling pension would undoubtedly be a contributory factor for people considering joining the clergy.
‘No one does this job for the money. The starting wage is around £20,000 and compared to other professions that is not good,’ he said.
The collapse of share prices since the scheme was set up in January 1998 had left a hole in its finances.
Article posted on 10th November, 2009 - 2.29pm
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12 Article Comments
Well, they have the best contacts of where to get your shares,so what chance have we lesser mortals?
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The Lord works in mysterious ways.
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Interesting. Guernsey has long been the final resting place of UK born Anglican clergy who come to the island for a last placement in order to retire here. Where else would you find four full time Anglican clergy in a population the size of St Peter Port? Where else would you find fifteen Anglican Churches in such a small geographical area? The Dean may be correct, nobody does the job for the money, (whatever happened to vocation), but the Guernsey clergy have many extra perks.
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The members of the CofE pension scheme should be remonstrating with the scheme’s Trustees for making poor investment decisions. Only the contributions of the younger scheme members (under 50 to 55) should have been invested in equities. Members older than that should have had their contributions invested in fixed income and the very oldest active scheme members, who were close to retirement, should have had their contributions invested in cash (or extremely low risk bonds). The CofE scheme members’ potential losses is an investment strategy error. The stockmarket “collapse” in Q4 2008 was very positive for young members of pension schemes who were able to invest their contributions in very low-priced equities which – we hope – will appreciate attractively over the 20, 30 or 40 years until those members retire.
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The salary might be small but the “benefits” are out of this world!!
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What, dental?
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Is it then a coincidence that many Anglican Priests are shifting to the Vatican.
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They will be rewarded favourably in their next lives!!!
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Andy – I doubt it. The more likely reason is that many Anglicans, priests and laity, are becoming increasingly frustrated by the lack of consistant teaching and leadership within their Church. The response and invitation from the Pope to the request from certain Anglicans to enter into full Communion with the Roman Catholic Church, is in part an acknowlegment of all that the English have achieved over the centuries.
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Aren’t they going RC because they don’t like women or gays?
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Perhaps a few prayers would be in order……..
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2 Little Fishes and 5 Loaves of Bread should keep them going through retirement until they inherit the riches they have amassed through them pearly gates.
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