§ Mr. FieldTo ask the hon. Member for Middlesbrough (Mr. Bell), representing the Church Commissioners, what is the cumulative cost to date of the financial compensation package for those priests unwilling to accept women's ordination; and if he will estimate the total cumulative cost at the end of the 10 year guarantee period. [91657]
§ Mr. Stuart BellAt 31 December 1998 the cumulative gross cost, to be met from the Commissioners' income, under the terms of the Ordination of Women (Financial Provisions) Measure 1993, was £13.5 million. The Commissioners' latest estimate of the total cumulative gross cost to the end of the guaranteed period is approximately £23 million. The figure is based on our current prediction of 400 resignations by 21 February 2004, and estimates for payments up to 21 February 2014.
Actual expenditure up to 31 December 1998 and illustrative costings based on 400 resignations are set out in the following table. It should be noted that from 1 January 1998, these costings include pension contributions towards the new funded clergy pension scheme, approximately £0.49 million in 1998.
489W
Illustration of costs for 400 resignations £ Year Gross costs to be met from CC income Housing capital (funded by CC) Net costs for church Net housing capital (funded by CC) 20051 488,000 0 440,000 (402,000) 20061 334,000 0 314,000 (167,000) 20071 178,000 0 171,000 (435,000) 20081 115,000 0 113,000 (362,000) 20091 98,000 0 97,000 (658,000) 20101 42,000 0 42,000 (684,000) 20111 31,000 0 31,000 (712,000) 20121 25,000 0 25,000 (317,000) 20131 19,000 0 19,000 (330,000) Total1 23,014,000 9,850,000 12,936,000 736,000 1 Figures are estimates Notes:
1. The number of resignations shown (400) is a broad estimate based on current assumptions and knowledge of proposed resignations.
2. Actual costs are shown for 1994 to 1998 based on resignations shown, including housing subsidy. A similar pattern of costs has been projected for future years.
3. The figures for 1998 onwards also include pension contributions for resigning clergy paid to the Pensions Board.
4. The figures make allowance for future increases in house prices and stipends.
5. The net figure takes account of such variables as stipends savings (assuming at least a temporary reduction in the payroll), allowance for retirement housing provision which would otherwise have arisen on retirement, and the possibility of some people redeeming loans or leaving rented accommodation once they have obtained alternative employment.