Sir Ashley Fox MP has renewed his call for urgent action to protect historic churches and places of worship, after the Government confirmed that this year’s £23 million allocation for the Listed Places of Worship Grant Scheme has been fully exhausted and the scheme has now closed to new applications.
The Listed Places of Worship Grant Scheme has, for more than two decades, enabled listed churches, chapels and other faith buildings to reclaim VAT on essential repair works. Without it congregations face the full 20 percent VAT cost on often complex and specialist conservation projects.
The Government has stated that all awards within the 2025/26 budget have now been allocated and that there will be no further funding rounds. No details have yet been published of a replacement scheme.
Ashley Fox previously wrote to churches across the constituency warning that the proposed replacement fund would fall significantly short of what is required. While ministers indicated a £92 million fund over four years, repair needs for parish churches alone are estimated at £150 million, with a projected VAT burden of at least £120 million over the same period.
In the past decade, 3,500 places of worship have closed nationally, with a further 2,000 expected to close within the next five years.
Ashley Fox said, “Churches and places of worship are part of our national story and at the heart of many local communities. Removing the ability to reclaim VAT on essential repairs places a serious financial strain on congregations who are already working tirelessly to keep these buildings open.
I have launched a petition calling on the Government to reinstate full VAT relief on repairs, establish a sustainable long term funding mechanism, and engage properly with faith groups and heritage bodies. With no funding left and no clear replacement in place, many churches will be facing real uncertainty about how they will afford urgent repairs.”
Ashley Fox is urging churches and residents across the constituency to sign his petition by visiting www.ashleyfox.org.uk
