At a meeting of Diocesan Synod, members voted (47 to 9 with one abstention) to accept the 2026 budget. It had been formally approved at a meeting of the Bishop’s Diocesan Council in early November.

The Truro Diocesan Board of Finance (TDBF) anticipated a planned deficit of £4.476 million for 2026, driven by support for local plans, use of reserves, and a focus on communities facing deprivation. Changes in income recognition following auditor findings have also contributed to the deficit, as income is now recognised when received rather than when spent. ​

The budget is deemed affordable, based on an increase in the Ministry and Mission Fund (MMF) contributions. ​The budget also aligns with the deanery plans which emphasises mission and ministry. ​

Sophie Eddy, Director of Finance and Assets, said: “The budget deficit is planned and affordable. This deficit arises from the continuing conscious decision to support local deanery plans, from the decisions to use reserves to support parishes rather than further grow the Balance Sheet and from a rebalancing of the shared resources towards communities that are experiencing deprivation.”

Key headlines for the 2026 budget include:

  • Significant decisions include using reserves to support parishes, honouring deanery plans for the Lowest Income Communities Funding (LICF), and planning for clergy stipends in line with national benchmarks. ​
  • A 3.5% cost of living increase for lay salaries is planned, alongside tight control of additional costs to prioritise parish support. ​
  • Commitments to achieving Carbon Net Zero by 2030. ​

Ms Eddy admits that there is an ‘unusual amount of uncertainty in the budget which could see significant changes’. “All of the deanery plans are in the process of being reviewed to establish if they are still fruitful and sustainable. With the plans informing the budget, if they change, and that is likely as plans are bound to change over time, then the budget will most likely need to change as well. The development of the Growing Younger work that is in the Diocesan Plan for Change and Renewal, it is hoped funding will be awarded in 2026 and therefore the budget will need to be revised for this.”

To enhance transparency and accountability, a new governance approach was also proposed which will see any significant budget changes of more than 10% reported to diocesan synod during a financial year.

Speaking after synod, Revd Canon Simon Cade, Diocesan Secretary, said: “The budget reflects a commitment to supporting local communities, enhancing ministry, and addressing environmental responsibilities while managing financial risks effectively.”