A CHURCH is refusing to pay its full quota of cash to the Worcester diocese because of a bishop's views on homosexuality.

St John's Church, Kidderminster, has also accused the diocese of being "out of touch". The Rev Charles Raven said parishioners did not think it was right to subsidise the diocese "given the leadership it had at the moment".

A row broke out last year after Bishop Rt Rev Dr Peter Selby said in the Church of England newspaper that he would not rule out ordaining practising homosexuals.

St John's was expected to pay more than £40,000 to the diocese but will only be paying £33,000 to cover its costs. The Bewdley Road church has set up its own trust for tighter control over its finances.

Mr Raven described the holding-back of cash as "very, very sad", but said the church had been forced to take extreme measures.

He said: "People do not want to be providing money for the diocesan leadership because of the views held by the Bishop on homosexuality."

Mr Raven said the Church of England was in "serious decline" with the shortfall in quota payments from parishes rising sharply.

Too much money was being spent on various diocesan bodies which had "very little relevance to the real life of congregations".

Diocesan spokeswoman Nicola Currie called the action a "sad development".

She said: "Should St John's choose not to pay towards the diocesan budget, it will affect the work of the Church."