Iqaluit's Anglican church has massive bills to pay — it could lose its iconic building as a result

St. Jude’s Anglican Church in Iqaluit has fallen on tough financial times.

On top of its regular expenses, the church is facing an annual $188,000 insurance bill.

“It’s a two-year accumulation,” said Rev. Abraham Kublu, an assistant preacher at St. Jude’s. “The diocese always pays half of the insurance cost, and we are supposed to be paying the [other] half.”

St. Jude’s is part of the Diocese of the Arctic. Its bishop, Rev. Alexander Pryor, said they’ve been working with their insurance company to relieve some of the pressure, but that hasn’t been easy.

“Unfortunately, it’s an insurance company like any other,” Pryor said. “So they have to cover the risk of insuring these buildings.”

Insurance bills for churches have been rising across Canada since a number of churches burned down, a trend that began in May 2021. A CBC News investigation found that as of January 24, 2024, more than 70 per cent of these fires have been confirmed as arson cases.

Pryor said two Arctic diocese churches were burned by arsonists in the past five years. Premiums for St. Jude’s have more than doubled since 2020.

“There is significant risk and they have to cover the losses that have been paid,” Pryor said of their insurance company, Ecclesiastical Insurance.

The diocese’s policy renews on Jan. 1, 2026. In a statement to CBC News, a representative for Ecclesiastical Insurance said it understands the financial pressures facing St. Jude’s.

“As a specialist insurer, we look at each church individually, working with them to understand their insurance needs and providing cover in line with those,” stated Colin Robertson, Chief Risk Management and Customer Officer with Ecclesiastical Insurance.

“Insurance premiums are based on the cost to replace a building after a loss, and these replacement costs are significantly higher in the North. In St Jude’s case, its location in Iqaluit poses significant logistical challenges should the worst happen and repairs or rebuild be required.”

On top of the large insurance bill, St. Jude’s faces a property tax bill of almost $65,000 with the City of Iqaluit, according to the 2024 Property Tax Arrears List published by the City in July.

Churches in Iqaluit had expressed displeasure at having to pay taxes to the city. This month, Iqaluit set the 2026 mill rate for places of worship at zero, meaning St. Jude’s will not pay property taxes next year, but it does not forgive previously incurred arrears.

The worst case scenario is that ownership of the parish building, which is famously shaped like an igloo, will go up for auction. Pryor says it’s a possibility that the city will use the proceeds from a potential tax auction on the debt.