HC Deb 12 June 2000 vol 351 cc633-4
28. Mr. Peter L. Pike (Burnley)

What steps the commissioners have taken to transfer day-to-day fund management of UK equities and their fixed interest portfolio; and if he will make a statement. [123698]

Mr. Stuart Bell (Second Church Estates Commissioner, representing the Church Commissioners)

The commissioners have decided to transfer day-to-day fund management of their United Kingdom equities and fixed-interest portfolio to Churches, Charities and Local Authorities Investment Management Ltd. Additionally, several experienced members of the in-house team will transfer to preserve continuity of management, which, over the years, has produced such good results for the commissioners. It is planned that the transfer will take place on 30 June 2000.

Mr. Pike

I thank my hon. Friend for that answer. One thing that he has not told us, however, is the cost implications. Will large costs and hefty fees be paid to CCLA? If so, what effect will those have on the commissioners' ability to help fund the Church?

Mr. Bell

The commissioners will, of course, pay CCLA a fee. However, an increase in the overall costs of fund management is not expected to affect the distributions that the commissioners make for support of the Church. The policy remains to provide the maximum sustainable level of support to the Church.