ANNUAL REPORT 2016

www.durhamcathedral.co.uk Production of this annual report was made possible with support from UNW LLP.

This report includes a financial summary of our annual accounts financial year 2015-2016.

FROM THE DEAN

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I write as a newly installed Dean, joining the team at Durham Cathedral in July 2016. It is a privilege and honour to lead the Chapter and staff at this world famous Cathedral. I look forward to the challenges ahead and know the path I tread won’t necessarily be easy. I have received a wonderful welcome from people in Durham and the wider region and look forward to helping this place contribute to the well being of North East England.

Cathedrals are complex organisations, with multifaceted mission objectives. At their heart they are faith communities, but they are so much more. Durham Cathedral’s purpose statement announces ‘Our purpose is to worship God, share the gospel of Jesus Christ, welcome all who come, celebrate and pass on our rich Christian Heritage and discover our place in God’s creation.’

My predecessor Michael Sadgrove, retired in 2015 after 12 years of ministry here in Durham. I express gratitude and admiration for his immense contribution to the life of the Cathedral. He, in turn, was building on the foundations laid by previous generations of Deans, including among them the famous Herbert Hensley Henson who made the same journey as I have done from St Margaret’s Westminster. Michael’s leadership led to the formation of the Cathedral’s Open Treasure project, which opened its doors to the public a mere week after my arrival.

I also express gratitude and admiration to Canon David Kennedy, Vice-Dean and Precentor, here at Durham. He took on the role of Acting Dean of Durham, on the retirement of Michael Sadgrove, and fulfilled it with aplomb.

Few Deans can have the privilege of arriving at such a seminal moment in the life of a Cathedral. Open Treasure is a world-class exhibition experience, transforming the Cloister into a stunning narrative of how Durham comes to be here, and its part in the history and culture that has shaped North East England. In the coming year it will house the redisplay of the Treasures of St Cuthbert, the 7th century relics that are some of the most significant early artefacts in the country. A rolling exhibition programme will be launched, to compliment the permanent displays, and will enable the Cathedral’s collections, amassed over the centuries, to be given the prominence and attention they deserve.

Open Treasure is so much more than an ambitious and complex project. It is a way of speaking about the Cathedral itself, an architectural reliquary holding the remains of not one saint, but two! It is the Open Treasure of the North East, holding the saints of early Christianity. This is Treasure which will be proven not by the words we say, but the lives we live; not in the magnificence of our shrines, but in the humility of our service.

The financial position of the Cathedral continues to cause the Chapter serious concern. Revenue is a challenge, particularly in the context of expensive fabric repair and conservation. Earned and fundraised income needs to continue to grow as expenditure demands increase. There is a modest admission charge to Open Treasure, and the Chapter has taken the decision to be more proactive in encouraging donations by visitors. Achieving financial sustainability is an ongoing priority if the Cathedral is to continue to flourish.

At my installation as Dean of Durham I preached on the text 1 Corinthians 3.11, “Each builder must choose with care how to build. For no one can lay any foundation other than the one that has been laid; that foundation is Jesus Christ.”

THE VERY REVEREND ANDREW TREMLETT

Dean of Durham

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PURPOSE

Worship and Spirituality

We worship God through daily prayer and praise, and celebrate the contributions of music and art to the spiritual life of the Cathedral.

Welcome and Care

We welcome all who cross our threshold and express Christian care in all aspects of our life as a community.

Learning, Nurture and Formation

We help people to encounter God and grow in faith and discipleship by offering opportunities for dialogue, learning and research.

Outreach and Engagement

We work in active partnerships for the good of the Diocese and the communities of North East England and to contribute to Durham’s flourishing and significance.

Buildings, Treasures and Environment

We conserve, develop and interpret our buildings, environment and historic collections, while respecting the Church as a place of prayer.

Finance and Stewardship

We steward our resources prudently, generously and ethically to sustain our activities and provide extensive public benefit.

Durham Cathedral is a Christian Church of the Anglican Communion, the Shrine of St Cuthbert, the Seat of the Bishop of Durham and a focus of pilgrimage and spirituality in North East England. We inhabit a treasured sacred space set in the natural and human landscape of the World Heritage Site.

Our purpose is to worship God, share the gospel of Jesus Christ, welcome all who come, celebrate and pass on our rich Christian heritage and discover our place in God’s creation. Our purpose statement helps us understand what we are here to do and why.

Spirituality

We recognise and respond to God’s presence in our world and among us, practising a reflective approach to what we do.

Respect

We recognise the image of God in all human beings, honour their dignity and treat them with courtesy.

Justice

We deal fairly in our personal and collective behaviours, work to the highest ethical standards, and are honest in our speech and behaviour. We think, speak and act with integrity, are professional in our conduct, and are publicly accountable for our actions.

Collaboration

We are a community founded on trust that prizes team working and builds partnerships that contribute to the common good.

Sustainability

We are business-like in our corporate life and prudent in our stewardship of resources. We pursue the sustainability of our operations and environment.

Welcome

We are welcoming and hospitable to all. We show Christian love and care to our guests and who need our help.

Aspiration

We are an outward-facing Cathedral that reaches for the future with energy and courage, and reaches out to our communities in the hope of personal and social transformation.

The Cathedral’s values statement exists to guide us in recognising how we fulfil our vocation as a Cathedral.

VALUES

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It highlights the necessity of working in ways that are motivated by wisdom, responsibility, ethics, and above all, the Christian faith which it is our purpose to proclaim and live out. It reflects the qualities we believe are essential to our life and work as a 21st-century cathedral.

In all things, we are inspired, motivated and challenged by the Christian faith and the values of the Gospel.

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Daily worship is fundamental to Durham Cathedral and is enhanced by many the special and diocesan services over the course of the year. Visitors may find themselves unexpectedly encountering the liturgy, and often wish to be part of it.

The Cathedral has continued to host a number of special services to mark events of both national and local importance.

In autumn 2015, we welcomed the National Recovery Walk as part of our continuing support of those seeking to overcome addiction. Anglicans and Roman Catholics filled the Cathedral to capacity to celebrate The Joy of the Gospel, when the Archbishop of York and the RC Archbishop of Liverpool led an inspiring service. A week of activities was held as part of Thy Kingdom Come, an initiative led by the Archbishops of Canterbury and York, culminating in a Pentecostal Service that included a live stream from the Archbishop of Canterbury. A festive Evensong was held to honour Her Majesty the Queen as our longest serving sovereign and we celebrated her 90th Birthday at Evensong on 12 June.

Other highlights included marking the 75th Anniversary of the Battle of

Britain, a special Carol Service for the County organised by the High Sheriff, and the Cub Scout centenary celebration. We marked the 100th anniversary of beginning of the Battle of the Somme with an evening vigil and were joined by the County Durham and Cleveland Royal British Legion Riders, who undertook a commemorative motor bike ride around the north of England, returning to the Cathedral for a Requiem Eucharist. More recently we held the Durham Light Infantry Reunion Service.

Two services of huge significance were the Farewell Evensong of the Very Reverend Michael Sadgrove in September 2015 as he retired after a fruitful ministry in Christ, 12 years of which were at Durham Cathedral. This was followed by the Installation

WORSHIP AND SPIRITUALITY

We worship God through daily prayer and praise, and celebrate the contributions of music and art to the spirituality of the Cathedral.

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of Andrew Tremlett as the Dean of Durham in July 2016. Both were joyous and blessed occasions.

June saw The Chorister School 600th Anniversary Service of Thanksgiving, with former pupils, parents, staff and governors in attendance. The preacher was Terry Waite CBE with music sung by the combined forces of Durham Cathedral Choir and The Galilee Choir; the Chapel Choir of The Chorister School.

The initiative, Free to Be: Exploring Sacred Space, with Cranmer Hall, has been re-focussed with an excellent ordinand Katie Lawrence. Three new sets of High Altar vestments made by Robes of Distinction of Darlington were dedicated on Ascension Day. An expanded new edition of The Book of Durham Festivals was published.

Cuthbert and Bede, our dear Northern Saints whose tombs are in Durham, were once again celebrated on their respective saint’s days. The St Cuthbert Festival continues to grow, as we celebrate his life through worship and with special events, including the annual walk from Chester-le-Street to Durham, organised by the Northumbrian Association.

This has been a rich and successful year for the Cathedral’s music ministry. Recruitment of Choristers continues to be a cause of concern both in Durham and cathedrals elsewhere. Both teams of Choristers and the back rows of the Choir have shown themselves more than competent. As ever the work of the Choir has been supplemented by the Cathedral Consort of Singers, the Cathedral’s adult voluntary choir, and the new Junior Consort of Singers, that reunites former girl choristers with the back row of the choir.

Some of the Choristers were privileged to participate in the rededication of the electric locomotive Durham Cathedral,

in Virgin East Coast livery, which marked the Very Reverend Michael Sadgrove’s final act before leaving Durham; and the whole choir was joined by Sir Thomas Allen and the Reg Vardy Band for the annual Christmas concert. There were choir visits to parishes in the Diocese and across the region, as well as a visit to the Dom in Frankfurt, where they sang to a large and appreciative audience. Collaborations with other cathedral choirs have continued, with visits by the choirs of St Mary’s Episcopal Cathedral, Edinburgh and Newcastle Cathedral; while in May the choirs of Ripon Cathedral and York Minster joined us for the Northern Cathedrals Festival.

Musical premières in worship included a setting of The God of love my shepherd is by Richard Lloyd, generously written to mark the thirtieth anniversary of James Lancelot’s appointment as Master of the Choristers and Organist, and Jubilate by Philip Stopford commissioned for The Chorister School’s 600th Anniversary Service of Thanksgiving.

The Cathedral is at the heart of the cultural life of the City, and continues to host a wide range of events. We ensure that such events support and enhance the Cathedral’s mission and know that both audiences and participants alike can be challenged by experiencing the

arts in such a unique sacred space. We have welcomed regulars such as the Sixteen, Durham Choral Society, the Durham Singers, Durham University Music Societies, Orchestra North East, the Festival of Remembrance Concert. Further concerts include those given by Action for Children, the Band of The Bridgade of Gurkhas and the Pipes and Drums of the 2nd Batallion of the Royal Gurkha Rifles, and Aled Jones.

November 2015 saw the return of Lumiere, the UK’s largest light festival to Durham, when once again the Cathedral was transformed through a series of stunning light installations. The inaugural North East Festival of Youth Choirs took place in February and both the Book and Brass Festivals incorporated events at the Cathedral. Of particular note was the Durham Hymns, commissioned for BRASS, a new work for brass band and choir, marking the 100th anniversary of the Battle of the Somme. Poet Laureate, Carol Ann Duffy, inspired by letters and the experiences of members of the Durham Light Infantry, wrote lyrics set to music by Orlando Gough, Jessica Curry and Jonathan Bates. The resulting performance was deeply moving and uplifting showing both collective and individual sacrifice, courage and endurance.

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Visitors come to Durham in their hundreds of thousands, and again we have welcomed more than 700,000 over the year. Our warm welcome is only made possible by human interaction. Both staff and volunteers are crucial as we endeavour to continue the Benedictine tradition of ‘welcoming strangers as if they were Christ himself.’ Lilian Groves, Senior Guide, was crowned County Durham Tourism Superstar, in recognition of her warm and extremely knowledgeable welcome to visitors. She went on to become Visit England’s Tourism Superstar following a nationwide public vote.

Preparing for the public opening of Open Treasure has been a huge focus as we recruited and trained staff and volunteers in new roles. This has been accompanied by a review and creation of new policies and procedures to ensure a smooth beginning for Open Treasure.

A major development is the introduction of the Visitor Desk at the West End of the Cathedral with front of house staff working alongside volunteers. The Desk provides a new focal point on arrival and, as well as being a place where visitors are given information, our new ticketing system enables the sale of Open Treasure tickets and the processing of sales of guidebooks and shortguides. It is also a place where voluntary donations can be received and is crucial to our decision to be more proactive in encouraging visitors to donate to whilst they are here. We thank both staff and volunteers for their help and support as we implement new procedures.

The initial public response to Open Treasure has been positive, and we look forward to the rolling exhibition programme and Treasures of St Cuthbert attracting new and repeat visitors over the course of the coming year.

Our volunteer Chaplains and the Listeners (part of the Durham Christian Partnership) continue to ‘loiter with intent’ for anyone with pastoral needs. They tell stories of some people who come to the Cathedral carrying immense personal burdens for which the friendly presence of someone to talk to is vital.

We continue to nurture our staff and volunteers through the Better Health at Work Initiative, recognised by the achievement of the Silver Award in early 2016. This year, in addition to continuing to promote sleep awareness, healthy eating, health checks, dementia awareness and autism awareness, we have also began a running club for staff with support from County Durham Sport. A number of staff and Chapter members took part in the inaugural Durham City Run (5k and 10k) and in the Durham Big Ride, an annual cycle ride, and were sponsored on both occasions raising money in support of the Cathedral.

Our volunteers work across every facet of Cathedral life. We continue to work hard to ensure that volunteers are looked after and supported in the best possible manner, ensuring that we deliver the best possible standards in volunteering.

Safeguarding of children and vulnerable adults is a priority for Durham Cathedral. We continue to learn from the events of the past and are developing our policies and procedures to ensure best practice is rooted in all aspects of our cathedral community. We have worked very closely with the National Safeguarding Training and Development Manager for the Church of England to design our training which is specific to the cathedral environment and is being offered to other cathedrals throughout the UK.

WELCOME AND CARE

We welcome all who cross our threshold and express Christian care in all aspects of our life as a community.

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The year has seen a growth in the number of opportunities for learning.

The Education Team provide a wider variety of both indoor and outdoor sessions, which work to the National Curriculum, for both Religious Education and other subjects. A number of new sessions have been made available to schools, including one based on the Butte Cross, a World War One battlefield cross that was given a permanent home in the Durham Light Infantry Chapel in the 1920s, and another, giving children a taste of what life was like in a medieval priory. A new

outdoor classroom has been created on the Woodlands and Riverbanks, with the Cathedral’s Education Service now having Forest School status. The Education was once again awarded the Sandford for Heritage Education, the gold standard within the sector.

A highlight of the Cathedral’s public programme was a Medieval Family Fun Weekend which attracted over 4,000 visitors. There were demonstrations of medieval pastimes, music, dancing, storytelling and mumming plays with visitors joining in games, trying their skills at rope making, candle diping, butter churning and striking their own coin replica. This was one element of the Open Treasure activity plan, the learning and outreach programme running alongside the creation of stunning new exhibition spaces. Another is Young Curators which allows children ages 11 – 16 to learn about the Cathedral and engage with its collections, offering real-life experience in curatorship and object handling.

The Sunday School (for 0-7s) and

Sunday Club (for 8-14s) continue to flourish and grow in numbers of children attending. The team of people leading the groups is also growing, thanks to recruitment among students. In addition to special activities during Holy Week and Pentecost, the children packed 100 shoe boxes to send to families and elderly people in Eastern Europe at Christmas and were delighted to see photos of ‘their’ boxes being handed over.

The Chorister School has seen its share of momentous occasions in 2016, including HRH The Countess of Wessex visiting the School to mark its 600th Anniversary Celebrations. As part of her visit she officially opened the labyrinth in the spectacular new school yard and garden. Further celebrations for the 600th Anniversary took place in June, with a Service of Thanksgiving in Durham Cathedral and an Evening Ball.

Other recent highlights have included the school’s participation in the Rugby 7’s Inter-schools championships at Rosslyn Park, pupil successes in the UK

LEARNING, NURTURE AND FORMATION

We help people encounter God and grow in faith and discipleship by offering opportunities for dialogue, learning and research.

Maths Challenge at various levels, the spectacular Middle School production of The Three Little Pigs, the Dean’s Cup Annual Public Speaking Competition and the placing of the Equestrian Team through to the National Schools’ Equestrian Finals.

Adult study days have ranged from the situation in Syria and Iraq, God and Money, why Christians sing together and medieval medicine. Some of these have been offered in conjunction with several departments of Durham University, in particular the Institute of Medieval and Early Modern Studies, including an annual event as part of our Bede celebrations. The Holy Week retreat, Benedictine Week and Benedictine Day continue to draw people from around the world as well as locally and the adult Baptism and Confirmation Group meets for several weeks each year before the Easter Dawn Liturgy.

The year saw the launch of the Anglican Studies Programme, again in partnership with Durham University, offering faith based life-long learning opportunities for adults. Other opportunities include Reading for Faith, a book club given in partnership with St John’s College, Durham University. A wide range of arts and craft workshops for adults have been developed, particularly around Christmas time, with participants able to make homemade gifts for family and friends. Health walks and guided walks around the Woodland and Riverbanks provide adult opportunities for outdoor learning and wellbeing.

The Cathedral once again hosted the Diocesan Liturgical Committee Music Day. It was open to clergy, lay leaders, organists, choir directors, worship groups, choir members and members of congregations, offering a selection of workshops including the secrets of good choral singing and the art of accompaniment.

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Many of the special services and events that take place at the Cathedral highlight significant partnerships with organisations and community groups across North East England.

In November, we welcomed leaders and guests from the Diocese, University, from Durham County and City at the annual Commemoration of Founders and Benefactors every November. Schools, local charities, agencies and community groups were represented as we celebrated our life together. Many donors to the Cathedral were present, as we thanked those who help make the life of the Cathedral so far reaching. The service is symbolic of how the Cathedral looks beyond itself into the region it serves.

The Dean, Chapter members and many staff have varied involvement in the Diocese and the wider community in a number of roles. The Head Verger liaises regularly with other city centre churches, the Salvation Army and local agencies to to coordinate our response to people in need who ask for practical help. The Cathedral is an important collecting point for the Durham Foodbank, organised by the Durham Christian Partnership, and is well supported by the Cathedral community.

There have been a number of specific projects in the last year that illustrate

the breadth and depth of the Cathedral’s outreach. Not least aspects of the Open Treasure activity plan that accompanies the capital work and development of our new world class exhibition facilities. In the build up and anticipation of the spaces being open to the public we worked with a number of local book clubs and have increased the sessions we deliver in schools, ahead of the schools visiting the Cathedral and now Open Treasure. Cathedral Explorers is an after school session delivered in schools for primary age children. Treasure Stories is a project delivered in schools where children did art based activity inspired by the Treasure of St Cuthbert and literacy work, through poetry writing.

The Cathedral’s Music Outreach Programme thrives, as the Cathedral shares its musical expertise with local schools and runs community choirs for children and young people. Each term the Cathedral choristers perform for eight local schools and one of our Music Outreach Team then works with the schools as they prepare for a concert in the Cathedral. The culmination is

a musical celebration that sees around 250 primary school children perform in the Cathedral alongside the Choristers with an enthusiastic audience of family, friends and visitors to the Cathedral.

Durham Cathedral Young Singers, and DCYS VOX, our community choirs for children and young people meet at the Cathedral and Chorister School on Saturday’s during term-time. A project of significance in the last year was a community opera, commissioned by the Cathedral in partnership with the Durham Singers to mark the 800th anniversary of Magna Carta. North East based composer Timothy Craig Harrison, organist at Middlesbrough RC Cathedral, and librettist Paul Hodgson, created The Great Charter, which was performed at Durham Cathedral and at Middlesbrough Cathedral. Participants included both the Cathedral’s Music Outreach choirs, choristers and school children from Middlesbrough, pupils from Durham Johnston School, professional musicians as adult soloists, the Durham Singers as an offstage chorus and a chamber orchestra. The

OUTREACH AND ENGAGEMENT

We work in active partnerships for the good of the Diocese and the communities of North East England and to contribute to Durham’s flourishing and significance.

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Cathedral Broderers and parents of Middlesbrough Cathedral choristers made costumes. The opera spanned two time periods, that of King John and the Barons in 1215, and a futuristic school in a totalitarian state. It was designed to bring together performers of different ages and standards, from professionals to school children. The serious message of humanity’s continued struggle for a just society was conveyed through entertaining and humorous music-drama.

Durham Cathedral in LEGO continued as both a fundraising mechanism and as a way of engaging with visitors, organisations and community groups. The final brick was placed on the Cathedral in July with the project raising almost £300,000 as part of the Open Treasure public appeal. In the final year organisations involved included the North East Chamber of Commerce, when staff members came and helped sort LEGO bricks, a number of local schools and community groups including Chillax, an after school club for 11-16 year olds from Whitworth Park School & Sixth Form College. Newcastle Falcoms, the region’s Premiership rugby club offered to help with a bucket collection at one of its home matches. A statistic of significance is that over 27,000 volunteer hours contributed to the success of Durham Cathedral in LEGO.

Exhibitions in the Cathedral are an opportunity to work with community groups and local artists. Recent exhibitions have been given by the Durham Guild of Spinners; Weavers and Dyers, Durham Photographic Society; Canadian artist, but County Durham born Richard Studham; Chris Collon inspired by Incarnation, Mary and Women from the Bible; Interface Arts, a collective of artists in County Durham; the Hexham and Newcastle Catholic Partnership; Props North East; Stephen

Guyon Bird’s Genesis series, Records of Early English Drama North-East, the North-East Region of the Embroiderers’ Guild and Judy Hurst.

Of significance is the display of the three Butte de Warlencourt battlefield crosses in the South Transept as part of our World War One commemorations. Made in memory of the soldiers of the 6th, 8th and 9th Battalions of the Durham Light Infantry they have been brought together to form a poignant and powerful witness. We thank St Andrew’s, Bishop Auckland and St Mary and St Cuthbert in Chester-le-Street for loaning their crosses that have been reunited, as they were on the Butte in

1916. There have been many positive and moving comments from visitors, particularly those with family members lost or affected by the Battle of the Somme and the wider War.

The Cathedral has featured in a number of radio and television programmes over the course of the year. Of particular interest was a Channel 4 documentary series called Grayson Perry: All Man. It explored how contemporary masculinity shapes the lives and expectations of men in Britain today. Grayson Perry created new artworks inspired by the people he met. The works were revealed at the end of each programme.

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BUILDINGS, TREASURES AND ENVIRONMENT

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The Chapter’s development priority over the last year has continued to be Open Treasure, which opened its doors to the public in July. An incredible amount of hard work went in to not only renewing the buildings round the Cloister, but in carefully planning how best to tell the story of the Christianity in North East England and the story of Durham Cathedral through innovative interpretation and its incredible collections. Work is now focused on

the rolling exhibition programme and preparations for the redisplay of the Treasures of St Cuthbert in 2017.

Scaffolding has been the great visual sign of the sheer volume of work on site over the past year. Open Treasure has not only involved significant works inside the Claustral Buildings but restoration on the outside. As the scaffolding on the West Range of the Cloister and the Great Kitchen has come down the quality of the stone renewal and conservation is clear to the eye.

Work to conserve the Tower has commenced and is clear for all to see. The uppermost part of the Cathedral is now covered in a shroud of scaffolding as essential works have commenced which will take a number of years to complete.

The Cathedral now has a Strategic Fabric Plan spanning the next 15 years that has been developed following the most

recent Quinquennial Inspection. It will shape priorities going forward, not least repairs to the Cloister Roof, the North Door Project and the south side of the Chapel of the Nine Altars. As funding is sought for these large and expensive projects considerations will be given to both fabric needs and how they can enhance the way we engage with the public. For example it is proposed that an element of the Chapel of Nine Altars project is to create disabled access into this much loved part of the Cathedral.

The Cathedral Library is restored to its place in the Monks’ Dormitory and Claustral Buildings. Restoration and environment improvements to the Refectory Library are complete, a new Search Room has been created in the former Library Loft and the Sharp Lending Library is in situ at the south end of the Monks’ Dormitory. The return of the Cathedral’ Priory Library collection, as well as its incunables, has

We conserve, develop and interpret our buildings, environment and historic collections, while respecting the Church as a place of prayer.

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been delayed as despite best efforts of Collections Staff and the Property Team, it is not yet possible to guarantee the appropriate environmental conditions in the Spendement. It is expected that this will be resolved shortly and the collections be returned during autumn 2016 from their temporary storage at Durham University’s Palace Green Library. We are delighted that the Refectory Library is once again in use for Show and Tell events, where members of the public can see aspects of the early printed books collection.

Aspects of our collections require conservation work in order to make sure they are in the best condition possible as we widen public access. The Collections Team and Development Team have worked together to devise Adopt a Book, a scheme where members of the public and organisations can associate themselves with a specific book held in the Cathedral’s wide ranging collections of early printed books. Donations can be made to pay for the conservation of specific books. The scheme is only just being rolled out and is in its early stages. We watch this space and expect to be able to report on its success in next year’s report.

Summer 2015 saw the loan of the Cathedral’s 1216 issue of Magna Carta to Durham University where it formed the centre piece of its exhibition Magna Carta and the Changing Face of Revolt. The exhibition was recognised at the North East Tourism Awards where it was awarded Gold for Best Tourism Experience. 2015 also saw the loan of the Cathedral’s 1300 issue of Magna Carta and Forest Charters to Canada where it toured to four venues. There were logistical issues that needed close management around care of the documents, which were overcome. The tour proved hugely successful, with large visitor numbers and generated significant media coverage in Canada.

The year ended 31 March 2016 was an extraordinary year in the life of the Cathedral. As well as the continuation of its daily ‘missional’ activities of worship, prayer and service to the community, there was intense activity to complete the major Open Treasure project for its opening in July 2016, and a dramatically increased rate of work on the restoration of the fabric, with some help from major grants from various sources. However, it has not been an easy year. The work on Open Treasure and the fabric has placed strain on staff and financial resources and the complexity of the cathedral’s finances and affairs is evident.

The audited annual Cathedral group accounts contain the income and expenditure of a wide range of activities as varied as the Chorister School, our giftshop and the legal entity that ringfences the Open Treasure project – in addition to the Cathedral’s day to day operations. This makes interpreting the audited accounts challenging and comparisons between financial years are not easy.

To simplify this, information on page 18 summarises annual income and expenditure for the financial years ended 31 March 2015 (“FY15”) and 2016 (“FY16”). The Heritage Lottery Funded (“HLF”) grant income and expenditure associated with Durham Cathedral Open Treasure Limited (“DCOT”) has been extracted since this materially distorts annual figures. Page 19

summarises Open Treasure fundraised income and spend to date.

The income analysis chart clearly shows that income for FY16 is significantly higher than the prior year and that the income mix has changed. Donations and legacies were £1.4m in FY16 and almost double the value of the prior year. This was directly due to one generous legacy and income generated during a 2015 tour of Canada of the 1300 issue of the Magna Carta owned by the Cathedral. Whilst it is pleasing to report this revenue, both income streams are non-recurring and not part of our sustainable, annual revenue.

Grant income was £820k in FY16 and £583k higher than the prior year. This is almost entirely due to £569k received from the Government’s First World War Centenary Cathedrals Repair Fund grant scheme for repairs to our Central Tower. This is a major capital project and will continue, in separately funded phases, to 2018. One downside of the project is that we lose income from Tower fees in the region of £150k per annum which puts further pressure on

our already fragile cashflows.

Income of the Chorister School increased by £158k to £2.2m. The School received a generous legacy during the year which will be used to further the School’s missions and objectives.

Income from commercial activities rose by £79k to £1.2m. This is driven by the success of our trading subsidiary, Durham Cathedral Trading Limited (“DCT”) which operates our giftshop. Sales rose by 8% during FY16 and net profits were over £100k – all of which will be covenanted to the Cathedral under the corporate gift aid rules.

Finally, investment income from our property portfolio and stock market investments was £1.4m and 6% down on FY15. This reflects global stock market trends and is not expected to reverse in the current financial year.

One of the key trends in our income streams is that there is continued pressure on traditional revenues (rents, donations, dividends) and income

FINANCE AND STEWARDSHIP

We steward our resources prudently, generously and ethically to sustain our activities and provide extensive public benefit.

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from newer commercial activities is increasing, but not at a fast enough rate to cover our running costs.

Total group expenditure for FY16 was £7.65m, some £859k (13%) higher than FY15. The main driver of increased expenditure is Cathedral and precincts upkeep which was £2.5m (cf £1.8m last year) and accounted for 32% of total expenditure.

Within this category is £628k of spend on the Tower project (mostly funded by grant income as noted above). This category is our main expenditure line

and shows no sign of reducing in the future. If anything, expenditure on properties is likely to increase when further projects from the architect’s Quinquennial report are undertaken. These essential projects can only be undertaken if we are successful with our fundraising. Each year our Development team is tasked with fundraising across all sectors from individuals, corporates to national grant making trusts.

Open Treasure remains a key part of this financial strategy and finally opened to

the (paying) public on 23 July 2016. It is too early to determine whether visitor numbers and income will reach the levels forecast in the 2013 business plan, but it is wonderful to finally have these spaces open to the public and move into the next stage of the HLF funded Open Treasure project.

Another element of the strategic plan is growing the Cathedral’s non-expendable endowment through property transactions and matched fundraising on both national and international levels. The new expendable endowment now stands at £3.7m and the fund will be invested to create a new income stream that can be used to pay for annual maintenance and QI related property spend. Our ambition is to grow this fund to £25m within 10 years through fundraising.

The account above shows the complexity of the Cathedral’s finances and the challenges it faces. Costs exceed expenditure, and we must develop our income streams further, while controlling costs rigorously. Our annual deficit is in the order of £0.5m and we rely on the generosity of the public to help support our mission. The increased expenditure on the repair and restoration of the historic fabric and other properties continues to be a major, and vital, issue. As described above, the finances face pressure every day.

However, there are also positive indicators. Open Treasure is now open and is contributing both financially and in terms of the mission and life of the Cathedral. Our trading income is healthy and the expendable endowment fund has seed funding of £3.7m. The staff team is strong and committed and, since the end of the financial year in question, the new Dean is in place. The complexity and difficulties cannot be denied, but nor should we ignore the progress that has been made and the real grounds for optimism about the future.

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ACCOUNTS SUMMARY Durham Cathedral - consolidated accountsYear ended 31 March 2016

FY16 FY15

£'00

0s

Income analysis - per SOFAOther income

Investments

Income from commercial activities*

Charges and fees in the course of mission

Chorister School income

Grants in support of mission

Donations and legacies

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

1,474

1,1502,213

1,229

1,389

820

1,403

2,055

236

729

Total £7.22m

Total £5.81m

*Income from commercial activities is disclosed as“trading & chargeable events” in the audited accounts.

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

FY16 FY15

£'00

0s

Expenditure analysis - per SOFA

Cathedral and precincts upkeep

Education and outreach

Other costs

Ministry

Chorister School costs

Costs of commercial activities*

2,457

323

1,214

2,217

1,437 1,396

2,028

1,134

351

1,756

Total £7.65m

Total £6.79m

*Costs of commercial activities is disclosed as “raising funds costs” in the audited accounts and includes trading activities expenditure and the costs of managing investment properties.

The charts on this page have been compiled using data from the consolidated statement of Financial Activities (SOFA).

The summary financial information presented has been extracted from the audited financial statements of Durham Cathedral and its’ subsidiaries for the year to 31 March 2016. The full financial statements can be obtained from the Cathedral office.

The information is provided here in good faith and for information purposes only. No representations are made as to its completeness and accuracy.

The accounts were audited by UNW LLP.

FY16 - year ended 31 March 2016 FY15 - year ended 31 March 2015

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ACCOUNTS SUMMARY Durham Cathedral - consolidated accountsYear ended 31 March 2016

As at 31 March 2016, expenditure on Open Treasure totalled £9.4m with the majority of costs (94%) being capital spend. Funding for the project to date is as follows:

4,511

617 525

3,715

Open Treasure project, funding to date £'000s

HLF & other trusts/foundations

Major gi�s Public campaign

Cathedral loaned resources

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GOVERNANCE

THE CHAPTER

The Very Reverend Michael Sadgrove, Dean of Durham, retired December 2015

The Very Reverend Andrew Tremlett, Dean of Durham, installed July 2016

The Reverend Canon Dr David Kennedy, Vice Dean and Precentor

The Reverend Canon Rosalind Brown, Nave Canon and Librarian

Mrs Cathy Barnes, Lay Member of Chapter

Mrs Harvey Dowdy, Lay Member of Chapter

The Venerable Ian Jagger, Archdeacon of Durham

The Reverend Canon Sophie Jelley, Diocesan Director of Mission, Discipleship, Ministry and Residentiary Canon and Canon Missioner

The Reverend Canon Dr Simon Oliver, Van Mildert Professor of Divinity, Durham University and Residentiary Canon

Mr Ivor Stolliday, Lay Member of Chapter and Treasurer

CHAIRMAN OF AUDIT COMMITTEECanon Paul Chandler

CHAIRMAN OF FABRIC ADVISORY COMMITTEEMr Robin Dower

CHAIRMAN OF FINANCE AND GENERAL PURPOSES COMMITTEEMr Ivor Stolliday

CHAIRMAN OF INVESTMENT COMMITTEEMr Simon Still

CHAIRMAN OF PROPERTY COMMITTEEMr Ian Percy

PROFESSIONAL ADVISORSBarclays Bank plc, Cazenove Capital Management (Schroder Investment Management Limited), Ecclesiastical Insurance Group plc, Rathbone Investment Management Ltd, Swinburne Maddison LLP, UNW LLP

CATHEDRAL ARCHITECTMr Chris Cotton RIBA, AABC

ARCHAEOLOGISTMr Norman Emery

CATHEDRAL COUNCILThe Cathedral Council met three times during the year under the chairmanship of Canon Paul Chandler

COLLEGE OF CANONSThe College of Canons met once during the year installing one new canon in 2015/16.

FULL NAMEThe Cathedral Church of Christ, Blessed Mary the Virgin, and St Cuthbert of Durham

ADDRESSThe Cathedral OfficeThe CollegeDurhamDH1 3EH

The Cathedral is governed by the Constitution and Statutes of the Cathedral Church of Christ, Blessed Mary the Virgin and St Cuthbert of Durham, which were most recently amended on 16 December 2008.

THANK YOU

Heritage Lottery Fund

Friends of Durham Cathedral

Garfield Weston Foundation

J Paul Getty Jr Charitable Trust

Wolfson Foundation

Provincial Grand Lodge of Durham

The Monument Trust

Catherine Cookson Charitable Trust

Graham and Joanna Barker

Foyle Foundation

Liz and Terry Bramall Foundation

Sir Paul and Lady Nicholson

Kirby Laing Foundation

The Lord Crewe’s Libraries and Archives Trust

Allchurches Trust

Purcell

Peter and Jayne Cook

Sir James Knott Trust

The Hobson Charity

John and Lynn Cuthbert

Banks Community Fund

Margaret and Chris Lendrum CBE

Irene Hindmarsh

The Paul and Louise Cooke Endowment

The Freemasons’ Grand Charity

The Drapers’ Charitable Fund

Durham Area Action Partnership

Alan England

The David Boardman Trust

Monica Hayton

Magna Carta Trust

The Idlewild Trust

The Leche Trust

Hargreaves Services plc

The Vardy Foundation

Lord Barnby’s Foundation

Supporters of the Open Treasure Public Appeal

The Cathedral Community

In July 2016, the doors of Open Treasure were opened to the public.

The project, which was initially conceived in 2010, represents the single largest development at the Cathedral for centenaries and was made possible thanks to the support of thousands of individuals and organisations who gave donations. We would like to express our gratitude to all those who supported Open Treasure, and especially acknowledge the following for their generous gifts.

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THANK YOU

Alan Evans Memorial Trust

Allchurches Trust

Anonymous

John and Angela Anstee

Arts Council England

The Community of Durham Cathedral

County Durham Community Foundation

Graham Dewhirst

The Donald Forrester Trust

Durham Area Action Partnership

Durham Cathedral Choir Association

The Ernest Cook Trust

The First World War Centenary Cathedral Repairs Fund (DCMS)

Friends of Durham Cathedral

Friends of the National Libraries

Geological Society

The George Cadbury Fund B Account

Handlesbanken

Elizabeth Harbottle

Paul Harvey in memory of Yvonne Harvey

The HDH Wills 1965 Charitable Trust

Heritage Lottery Fund

Horden Parish Council

Magna Carta Trust

The Michael James Music Trust

Jonathan & Jools Pilkington

Sir John Priestman Charity Trust

Spennymoor Town Council

Virginia Surtees

The work of Durham Cathedral is diverse and far-reaching.

Whilst Open Treasure was a major feature of our life in 2015/16, we continued to develop our mission in many other areas including the care of our magnificent building and precinct, educational activities, community engagement, worship and music. We are grateful to the following people and organisations for their support this year.

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CATHEDRAL PATRONS

We would like to thank our family of individual supporters whose annual commitment through the Patron programme helps us to plan for the future with confidence.

Alistair and Joan Adams

Sinead Andrews

Mathew Andrews

Kenneth and Maureen Aspinall

Emma Victoria Bain

Rosalind Bainbridge

Sheila Bamber

Lord Barnard

Melanie Bash

Adrian Philip Beney

Nicola Best

Rosalind Billingham

Roberta Blackman-Woods MP

Peter Edward Bright

Steve Bryan

Richard Carter

Rachel Carfoot

Richard Coad

Chris Cook

J E Cotes

Dorothy Cummings

Elizabeth Cummings

William Paul Cummings

Philip Davies

Andrew Dunn

David Fielding

Jim and Pat Francis

David Fuller

Brian Gable

Clare Galloway

Stephen Gardener

Frances Gerth

Rory Gibson

Colum Goodchild

Glenys Goodwill

Michael and Sylvia Graham

John Neville Greaves

Lilian Groves

Douglas Hamilton

Rachel Hamilton

Elizabeth Harbottle

Maureen Elizabeth Harris

Paul Harvey

Joss Harwood

John and Mary Hawgood

Jean Holmes

Edwin and Jessica Holmes

Roger and Margaret Howell

Philippa Hudson

David Hunt

Janice King

Tony Lamb

Gillian Lathan

Linda Leaver

Martin and Kathleen Longmaid

Jill MacDonald

Duncan MacEwan

Rosita Malandrinos

Alan Mark Mawhinney

Michael and Christine McMinn

John and Angela Miller

Emma Mitchell

Rosemary Nixon

Peter Nyland

John Ogden

Alan Oyston

Fiona Parker

Susan Patrick

Jackie Purver

Katherine Reay

Harold and Jeanne Robson

Anthony Rowell

Arely Cruz Santiago

Clemence Schultze

Adrian and Margie Simper

John Scorer

Maurice Simmons

Jennifer Smurthwaite

Edward Smith

Margaret Stamp

Pamela Stewart

Ruth Studholme

Muriel Suddick

Reuben Sutton

Peter Swift

Brian Tanner

Margaret Tindle

Judy Turner

Charlotte Wallace

John Wallace

Helen Williams

Ruth Wiltsher

June Wright

Peter Young

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CORPORATE PARTNERS

Thank you to the following companies who have partnered the Cathedral in 2015/16.

Gold

Silver

Bronze

Media Partner

Design

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Chester-le-Trackwww.nationalrail.com

995 CLUB

Thank you to the following companies who have committed to supporting Open Treasure for four years.

Andy Collins PR

Beamish Hall

Bradley Hall Chartered Surveyors

CannySites.com

Chatton Holiday Cottages

Compass Professional Development

County Durham Building and Joinery

Durham Business Club

Envelope Systems

Expert Fire Solutions Ltd

Forrest Digital

John Clasper Photography

Karen Brown Consultancy

National Women’s Network

Northumbria Financial Management Ltd

Omnicom Telecommunications Ltd

One Awards

Peacock Carter Ltd

Robinsons Greengrocers

Robinsons Estate Agents

Rowlands Accountants

Sapphire

Sedgwick Partnership Ltd

Short Richardson & Forth LLP

St Chad’s College

Teikyo University of Japan

TGP Landscape Architects (North) Ltd

The Environmental Academy

Urban Matters

Vindomora Solutions

GIFTS IN WILLS

Every year, we are honoured to receive gifts from those supporters who generously choose to remember the Cathedral in their will.We would like to pay tribute to all of those who gave their support in this way in 2015/16.

Legacy gifts can be directed in support of any aspect of the Cathedral’s life, or can be given free of restriction to enable them to be used where they are needed most.

If you would like more information about any aspect of supporting the Cathedral, please contact the Development Team on 0191 375 5256 or email development@durhamcathedral.co.uk

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www.durhamcathedral.co.uk

Durham CityDH1 3EH 0191 386 4266