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 in legacies 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, easy to write, but the real value erodes with inflation if the will is not updated.
• Residuary legacy: a percentage of what is left 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 sum of shares, or jewellery. The diocese can usually accept these, though it is wise to discuss 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. Useful for couples who want to look after each other first and the Church afterwards.

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 in the will. 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. Carol Lawrence, the Financial Secretary, can confirm the exact diocesan-preferred form for your circumstances.

Inheritance Tax relief

Charitable legacies in the UK are free of Inheritance Tax. This is the headline relief, and on its own it 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 actually leaves more for your other beneficiaries, not less. HMRC publishes a Reduced Rate calculator at gov.uk for those who want to see how it works.

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 of the diocese, used 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 apply it where the diocese needs it most, often to long-term funds for clergy formation and care.

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 a codicil for a small fee. The codicil must be signed and witnessed in the same way as the original will. For most people who already have a will, this is the quickest way to include the diocese.

A confidential conversation

Many people prefer to talk through a legacy with the diocese before instructing a solicitor. This helps the diocese plan and helps you write the right words. Carol Lawrence, the Financial Secretary, handles legacy enquiries personally and in confidence. You can email carol.lawrence@dioceseofshrewsbury.org or phone the Curial Offices on 0151 652 9855. The 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.