Truro Diocese, June 16
th2012
20 ways to save
your parish money
Our Objectives
Share with you 20 ways to reduce your costs
Help you buy differently
Help you to prioritise areas where you can
benefit
Help you say “We are confident we did the right
thing”
Parish
Buying
In response to feedback from all around the church
Website Loud launch January 30th 2012.
Save parishes £10m
Website with a range of national contracts and buying guides
Parish
Buying
Aims
We seek to help ensure you are:
•Buying with Confidence
•Saving Money
•Saving Time
St John’s, Norton Vale
Extract of Annual Budget for St Johns, Norton Vale
Category Budget 2011/12 Budget 2012/13 Reason for change
Utilities (elec/Gas) 1,800 2,000 Expected Cost increase
Insurance 2,300 2,450 Lead/general increase
Office Products 450 400 Reduced due to tight year
Photocopying 1,200 1,400 New Machine required
Telephone/Internet 400 400 N/A
Fire Safety 200 500 fire inspection due
IT/PA 500 300
Need MS office and antivirus for Ric's Desktop
Mission 500 300 cut costs to cover other costs
Church Consumables 300 300 N/A
Ministry resources 800 700 cut costs to cover other costs
Insurance Scenario
Wendy reviews the insurance every year. She’s already signed up to a “long term agreement” reducing the premium by 25%.
Nothing changes on the policy because nothing changes to the building or contents.
Wendy pays the premium in 10 instalments by direct debit.
Insurance quick wins
• She adjusted the excess from £100 to £250 and saved 5%
• The 12th C church was insured for 100% of the rebuild
cost. However, the PCC decided that in the event of a total loss, they would rebuild the Church in an
aesthetically pleasing, but less expensive way, and
reduced their cover to 75% of the rebuilding valuation. This saved a further 3%.
• She switched to 12 monthly payments by Direct Debit and got 4% off her renewal premium
Needed to buy software for his new desktop.
He registered with
Parish Buying
.
He saved over £250 through
against
the high street price
Fire Safety
Wendy saved 15% against the budgeted figures by using
She replaced several fire extinguishers with their 10 year guaranteed, insurance approved extinguishers. She also removed the hassle of having to get someone
Good Stewardship in
Buying
Question:
Is buying ‘local’ the most appropriate way to
demonstrate good stewardship when buying goods or services?
Your
Buying
Strategy
‘Buy Local’ - Plumbing
‘Buy Green’ – Office Products
‘Buy Quality’ – Health & Safety
‘Buy Cheap’ - Utilities Be flexible
Buying Guidelines
Think about who can buy and in what categories Empower people to make decisions
Single Source v. Three quotes
Link your buying to your mission focus Quality
Photocopying Scenario
Wendy needs to understand the options and their impact on cost.
Calculate your total cost of ownership. The Parish Buying quote is £250 cheaper than they are currently paying!
Photocopying quick wins
• Automatic Duplex
• Use Power Save Mode
• Set Email Output to Mono
• Print on A3 paper
The Photocopying Contract
Always ensure the following information is provided in writing by the supplier:
How much will you have to pay?
Can any of the costs be changed during the contract? What is and isn’t included in the cost?
What are your rights to terminate? When will the contract end?
Office Products Scenario
Wendy could save 30% using
instead of the local, regular supplier. Local supplier matched prices.
Then prices started to creep up again.
Wendy found switching to she could save another 59%.
Ric also switched and found it was the same chap from Viking
Energy -
Buying
• Knowing what you are buying is very important
• PCCs can’t be expected to monitor pricing of electricity, gas or oil
• Risk - 1 yr v 2yr v 3yr energy contracts...
• Solis Consulting are independent energy consultant who monitor markets and pricing.
• They are monitored by the Parish Buying team to ensure they offer the best pricing
Green
Buying
Switched to 100% renewable energy from for his vicarage, wants the Church to switch too
He also saved money on the Oil for the Vicarage through
Looked at two main green suppliers and got quotes from
Went with Solis on a 16 month co- terminus contract saving 10% now.
Energy -
Buying
Buying as a group brings economies of scale Easier for supplier
Better pricing for the customers
Better service as you are a higher priority to energy suppliers
Energy Quick Wins
Check you are paying 5% VAT and not paying Climate Change Levy
Join the CofE Energy Basket
Check your meter to make sure you aren’t on estimated readings
Always get an alternative quote
The Hassle Factor
Most people think changing suppliers is time consuming and that the grass isn’t always greener
The old adage “you get out what you put in” applies to
buying generally.
Doing the very minimum – ask for a discount off your current prices
•
Any examples of savings you
Action Plan
Register with Parish Buying (www.parishbuying.org.uk)
Go down the 20 ways leaflet and circle the ones which you think may save your parish money and check the prices you are paying against the Parish Buying
offering and switch where necessary
Get a clear buying strategy that matches your Parish mission
Never accept a first price from a non-Parish Buying
supplier.
