Why a legacy matters

Most Catholics give what they can during their lifetime. A legacy is what we give once, at the end, from what is left. For many people it is the largest single gift they will ever make to the Church. The Diocese of Shrewsbury received £1.7 million in legacies in a recent year, with a further £1.1 million given to specific parishes. The diocese cannot survive on Sunday collections alone. Legacies pay for the formation of priests, the care of retired clergy, the diocesan response to poverty, and the long-term life of parishes that ordinary giving cannot reach.

A legacy is also a way to keep loving the Church after we are gone. Bishop Davies, in his Advent Pastoral Letter for the 175th anniversary, called the diocese a "heroic story" passed from generation to generation. Including a legacy in your will is one of the clearest ways to take your place in that story.

The four types of legacy

UK law recognises several types of legacy that can be left in a will:

• Pecuniary legacy: a fixed sum of money. Simple to write, but the real value erodes with inflation if the will is not updated over the years.
• Residuary legacy: a percentage of what remains of your estate after all debts, expenses, taxes, and specific gifts are paid. This is the most common form of charitable legacy because the value moves with the estate. A residuary legacy of even 5 or 10 per cent can change what the diocese is able to do for many years afterwards.
• Specific legacy: a named asset, such as a property, a piece of artwork, a shareholding, or jewellery. The diocese can usually accept these, though it is worth discussing the asset with the Financial Secretary in advance.
• Reversionary legacy: an arrangement under which a spouse or other person enjoys the asset during their lifetime, with the gift passing to the diocese on their death. This suits couples who wish to look after each other first and the Church afterwards.

Restricted or unrestricted giving

You can leave a gift to be used wherever the need is greatest, or you can restrict it to a specific purpose: a parish, a named fund such as the Retired Priests' Fund or the Clergy Education and Training Fund, or another particular cause. If you are considering a restricted gift, talk to the Financial Secretary before instructing your solicitor, so the wording matches what the diocese can actually carry out.

Recommended wording

The diocese is held in law by the Shrewsbury Roman Catholic Diocesan Trust, registered charity number 234025. This is the legal name your solicitor needs. A standard form of words, used widely across Catholic dioceses, runs as follows:

I give to the Shrewsbury Roman Catholic Diocesan Trust (registered charity number 234025) of 2 Park Road South, Prenton, Wirral CH43 4UX, the sum of £___ / ___ per cent of my residuary estate / [specific asset], for its general charitable purposes / for the work of the [named parish or department], and the receipt of the Financial Secretary or other authorised officer shall be sufficient discharge to my executors.

The "general charitable purposes" version lets the diocese put the gift where it is most needed. The "named parish or department" version restricts the gift to a particular work. Both are valid. The Financial Secretary can confirm the exact wording for your circumstances. Their details are listed below.

Inheritance Tax relief

Charitable legacies in the UK are free of Inheritance Tax. On its own that can save your estate up to 40 per cent of the value of any charitable bequest.

There is also a second, less well-known relief. If you leave 10 per cent or more of your net estate to charity, the rate of Inheritance Tax on the rest of your estate falls from 40 per cent to 36 per cent. The "net estate" here is the value after the £325,000 nil-rate band and any other allowances. For larger estates this is a significant saving, and it can mean that giving more to charity leaves more for your other beneficiaries as well. HMRC publishes a Reduced Rate calculator at gov.uk for those who want to work through the sums.

Updating an existing will with a codicil

You do not need to rewrite your whole will to add a legacy to the diocese. A codicil is a short document that sits alongside your existing will and adds, removes, or changes a clause. A solicitor can prepare one for a modest fee. The codicil must be signed and witnessed in the same way as the original will. For most people who already have a will in place, this is the quickest way to include the diocese.

What the diocese does with legacies

Legacies to the diocese support a range of works, including:

• The formation of seminarians for the diocese
• The Retired Priests' Fund
• The work of named parishes specified by the donor
• Caritas Shrewsbury, the diocesan response to poverty
• The cathedral and the diocesan curia
• General charitable purposes, applied where the need is greatest

The Trustees of the Shrewsbury Roman Catholic Diocesan Trust apply each legacy in line with the donor's stated wishes. Where the gift is for "general charitable purposes", the Trustees direct it where the diocese needs it most, often to long-term funds for clergy formation and care.

Letting the diocese know

You are under no obligation to tell the diocese that you have included it in your will. If you are willing to, it helps with planning and gives the diocese the chance to thank you in your lifetime. All legacy correspondence is handled in confidence.

A confidential conversation

Many people prefer to talk through a legacy with the diocese before instructing a solicitor. The Financial Secretary handles legacy enquiries in confidence. Speak to the contact listed below. The postal address for written enquiries is Diocese of Shrewsbury, Curial Offices, 2 Park Road South, Prenton, Wirral CH43 4UX. Always take legal advice from a qualified solicitor before signing a will or codicil.