The restructure will see the boards of the diocesan business entities - Newcastle Anglican Schools Corporation, the Samaritans, which offers disability and community support, and Anglican Care, which oversees aged-care services - dissolved.

An expanded board of the Newcastle Anglican Corporation, headed by Newcastle Bishop Peter Stuart, will assume control of all entities on October 1.

Insiders described the move as a "power play" by the diocese in a bid to shore-up more control, especially of finances.

Others said it would allow the church to make significant savings, "in difficult times", by centralising services.

"There is no secret that churches are increasingly under financial stress and this is an obvious way to save money," a senior diocese worker said.

"No doubt there is some concern that this is also a way for the diocese to wrap up everything so it has much greater control, there is some concern that it is not the best way forward."

The restructure's largest scalp is the long-term chief executive of Anglican Care, Colin Osborne, who will not have his contract renewed at the end of this month.

Mr Osborne, who declined to comment on Wednesday, has managed the diocese's aged-care division, which cares for 1450 elderly residents and has a staff of more than 1000, since 2012.

According to the most recent financial data, Anglican Care's income grew 8.31 per cent to $87 million in the 2018-19 financial year, resulting in a $7.1 million profit.

Bishop Stuart said the restructure was aimed at bringing "financial stability" and ensuring the diocese "can continue to achieve its mission".

"The restructure is more about improving operational practices, removing duplication of some services for the financial benefit of all services," he said.

Over recent year the diocese has been under considerable financial stress, forced to sell assets to meet a shortfall in compensation payments for child abuse survivors.

In a letter to Anglican Care staff and volunteers Bishop Stuart said he wanted to move the leadership of aged-care services in a "different direction" and acknowledged that Mr Osborne was "disappointed by my decision".

An Anglican Care worker said the organisation had "flourished" under Mr Osborne's leadership and there was "significant concern" about its future.

"We have grown from strength-to-strength and there is a lot of confusion about what's behind this," he said.

"There is wide-held belief that there is something we are not being told."

From October, aged care and disability services will be managed by current Samaritans chief executive Brad Webb, as executive director of people care. The public faces of the two business units will remain separate.

Former mayor of Lake Macquarie and solicitor, John Kilpatrick, who served on the boards of the Samaritans and Anglican Care for decades before his retirement in 2018, said the biggest concern was good governance.

"We are talking about caring for special people in our community. The aged, children and the Samaritans is the largest community group in the Hunter Valley, so it's very important that we get this right," he said.

"It's crucial good governance is maintained for the various organisations to maintain high standards. The crucial thing for me is which is the best governance for the people we are trying to look after. If that is a centralised system, then it is the way forward."

The new centralised board will comprise ten members, chaired by the bishop, and its make-up is expected to be finalised this week.

Total board members will drop from 27 active members to ten.

The Diocesan Council remains in its overarching role with 15 members.

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