Government announce extension to the Listed Places of Worship Grant Scheme
Update: The government has now just clarified that VAT claims need to be submitted to the Listed Places of Worship Grant Scheme by 31 March 2025 at the latest, in order to avoid the introduction of the £25,000 cap [as explained below].
If a claim is received on or after 1 April 2025, then the cap will apply, even if the expenditure itself (e.g. payment of a contractor’s invoice) was incurred before the end of March 2025.
Please therefore submit any eligible claims before the end of March 2025.
The Listed Places of Worship (LPW) Grant Scheme gives grants towards VAT paid on repairs and renovations to the UK’s listed sites of worship, providing £23 million so that thousands of historical buildings, including churches, synagogues, mosques and temples can carry out restoration work.
Last year, there were fears that the scheme would not be renewed in March 2025 (when it had been due to end), but after a successful campaign led by the Church of England and supported by several key partners (including the National Churches Trust, Association of English Cathedrals, Church of Scotland, Church in Wales, the Catholic Church and the Historic Religious Buildings Alliance) the government scheme has now been extended for the financial year 2025/26. Parishes were also encouraged to write to their local MPs and to the Secretary of State at the Department for Digital, Culture, Media and Sport (DCMS).
The renewal of the scheme for a further year recognises that listed places of worship represent an important part of UK heritage and provide spaces for communities to come together. Marsha de Cordova MP, the Second Church Estates Commissioner, welcomed the announcement of the 12-month extension but cautioned that “going forward, it is vital that a long-term solution is reached for some of the country’s most important community buildings”, whilst the Bishop of Bristol, Viv Faull, and the Bishop of Ramsbury, Andrew Rumsey (the Church of England’s joint lead bishops on church buildings) committed to continue their “close working with the faith and charity buildings sector, and the Government, towards more secure funding in the long term for these buildings that are so crucial to their communities.” The announcement was made during a Westminster Hall debate in Parliament on 22nd January, when many MPs paid tribute to the commitment and diligence of the many volunteers upon whom falls much of the work of caring for these buildings.
The LPW Grant Scheme gives grants to listed buildings used as places of worship which covers the VAT on eligible works of over £1,000. One claim can also be submitted in any 12-month period that is less than £1,000, but more than £500. There is now a cap of £25,000 that any one place of worship can claim in total during the year, although this can still be spread across multiple claims. This will affect listed churches which are projected to spend more than £125,000 on repairs or eligible alterations between 1st April 2025 and 31st March 2026.
According to statistics released last year, 86 parish churches in our diocese have received these grants – a total of over £760,000 of government funding for our listed buildings across Southwark. For more information visit: https://listed-places-of-worship-grant.dcms.gov.uk/
Evaluation of the Listed Places of Worship Grants Scheme – Survey
The Department of Culture, Media and Sport (DCMS) has commissioned research on the repair and maintenance of historic places of worship. Through the Listed Places of Worship Grant Scheme, which has operated since 2001 and is funded by the UK government through DCMS, places of worship that have been ‘listed’ for their special architectural or historic interest can generally reclaim the VAT paid on repair and maintenance building-works.
The research is in the form of a short online survey which is now open for filling in, to help build understanding of how individual places of worship have experienced the Scheme. This survey consists of around 25 questions and will play a vital role in understanding the outcomes and impacts of the scheme.
As many individual listed places of worship as possible are encouraged to participate, to produce reliable and comprehensive findings.
Please complete the survey here, by 25 March.
The Historic Religious Buildings Alliance (HRBA) have helpfully provided a copy of the questions that will be asked in the survey, and some guidance on how to prepare in advance for filling in the online form.
