The Church Commissioners, the charity investment arm of the Church of England, has today announced a return on investments of 8.2 per cent in 2015, resulting in the fund being worth £7bn.

Its annual accounts show that the total return on investments in 2015 was 8.2 per cent, up 2 per cent on its long-term target rate. However, this figure is actually down on the average over the last 30 years, which has been an average return of 9.7 per cent per annum.

Sir Andreas Whittam Smith, first church estates commissioner, warned that this sort of return may not be possible in the future.

He said: “Unfortunately it may be harder in the future to achieve such a satisfactory performance. My message to the wider Church is – don’t count on it. The nervousness of investors is explained by the feeling that governments have lost the power to reverse any slowdown in economic activity. In earlier time they would reduce interest rates, but now that rates hover around zero, that remedy is unavailable.”

In 2015, the Church Commissioners' charitable expenditure was £218.5m, accounting for 15 per cent of the Church’s overall mission and ministry costs.

However, the Church Commissioners has received some criticism after its annual report revealed investment in Alphabet Inc, the parent arm of Google, in its top 20 most valuable equity holdings. Google has come under fire in the UK over tax avoidance.

The Church Commissioners made grants to its mission activities worth £10.9m, with £28.5m of grants going to bishops’ ministry and cathedral costs. Total grant funding was £76.1m in 2015.

The highest paid member of staff was the director of investments, who earned £255,000 in 2015 – up from £250,000 in 2014.