Furnish new church in state capital (10)
I believe the answer is:
providence
'state capital' is the definition.
(Providence is an example)
'furnish new church' is the wordplay.
'furnish' becomes 'provide' ('provide' can be a synonym of 'furnish'**).
'new' becomes 'n'.
'church' becomes 'ce' (abbreviation for Church of England).
'provide'+'n'+'ce'='PROVIDENCE'
'in' acts as a link.
(Other definitions for providence that I've seen before include "fortune" , "US state capital" , "tender care" .)