Financial Turnaround

As we approached the end of 2006 all the signs were pointing to the Free Church recording a second successive annual shortfall in its finances.  Despite efforts to reduce our spending, income was still some way below what was required to make the books balance.  However, increased congregational giving in the latter part of the year combined with two items of exceptional income, have transformed the financial position into one of surplus.  It’s too early to quote precise figures since the Annual Accounts will not be finalised until March at the earliest.  Nonetheless, the expectation is that the Church will show a fairly significant surplus rather than a shortfall.

Aside from increased congregational giving, the two major items boosting income were a legacy of over £300,000 to the General Fund of the Church and a payment of expenses of over £140,000 from the Free Church of Scotland (Continuing) (FCC). These expenses relate to legal fees that the Free Church had incurred in mounting a successful defence of the action taken by the FCC against the Free Church in the Court of Session where the FCC claimed to be the true Free Church.  In addition to income benefits, initial estimates suggest that cost savings have also been made compared to 2005.

All in all, this is an outcome for which the Church is profoundly thankful: in the first instance, thankful to God for His great provision which is beyond our expectations; and secondly, thankful to all those who provide financial support to the Church through their faithful, and in many cases, sacrificial giving.  The Church is quick to ask for help when shortfalls are looming.  It is only right then that sincere thanks are given when these shortfalls are avoided.

We face many challenges in the year ahead but have confidence that God is able to provide for our every need.

Rod Morrison

Chief Administrative Officer