A huge donation from an anonymous wellwisher has saved a York church development.
In March, we reported how St Michael le Belfrey, the Grade I listed medieval church building next to York Minster, had been left with a £1.4 million black hole in its transformation project.
It was due to a sudden goverment rule change which limited VAT reclaims.
Andy Baker, interim priest in charge of The Belfrey, said this could force them to abandon the project, leaving “an unfinished building eyesore” in the heart of York.
Now though, the scheme has been saved.
An anonymous donor has offered to cover, if needed, the full £1.2m shortfall of the Belfrey’s £8.5m Impact building project.
It came after the government imposed a £25,000 cap on the amount of VAT that could be reclaimed under the listed places of worship grant scheme.
The Belfrey managed to reduce the deficit by £200K by making advanced payments to contractors, leaving the £1.2m black hole.
Andy said: “This is an extraordinary and wonderful blessing.
“When we were faced with the shortfall, following the government’s sudden introduction of the VAT cap, we led a call to pray – with people praying together in person, and via online meetings, as well as fasting.
“A number of people believed that God would provide the money at the right time.”
The donation was pledged the day before The Belfrey was due to instruct its design team and contractors that the project would have to be significantly downsized.
“However, many of our Christian family in mid build church projects across England have had to reduce their vision, and work out how to meet the huge funding gaps that have been left,” Andy added.
“We stand with them and continue to campaign for an outcome where the Government fully recognises the value that our churches make to society, spiritual development and the economy of this country.
“We are so thankful to all those who have supported us in lobbying the DCMS, in particular local MP Rachael Maskell, who has worked tirelessly on our behalf, and our national colleagues including Emily Gee, director for cathedrals and churches, Church Commissioners for England.”