The Church Commissioners for England today announced the issuance of a £275m bond, with the proceeds to be invested to generate returns to support the mission and ministry of the Church of England.
“Our first bond issue in 2022 supported an investment strategy that enabled record distributions to the Church of England,” said Alan Smith, First Church Estates Commissioner at the Church Commissioners for England. “We are taking this opportunity to raise funds within the prudent leverage limits set by our board to invest as we support the mission of the church. Issuing another bond will give us the agility we need to invest wisely as we navigate an uncertain global economy.”
The bond has been issued in a single tranche and has a ten-year maturity at a coupon of 5.125%. It has been rated Aa1 by Moody’s Investors Services. The Church Commissioners has appointed Bank of America, JP Morgan, and Barclays to lead the offering, with legal advice provided by Clifford Chance and Linklaters.
The Church Commissioners for England, which manages the Church of England’s in-perpetuity endowment fund, delivered a 10.3% return in 2024, marking the sixteenth consecutive year of positive returns. The fund was valued at £11.1bn at the end of 2024.
In 2022, the Church Commissioners for England issued its first bond, successfully raising £550m in two tranches.