"... used church land for free"? "... forced to become serfs"? Seriously? What is the evidence for either of these propositions?
As far as I know, the English Catholic Church made rent money from the serfs, just the same as the aristocratic (landed) nobility did. This is where the term 'tithe' originated from, all the way back to Mesopotamia / Sumer, and also institutionalized in the OT. A serf paid 10 percent, or more, of the proceeds of his crops to either the church or his lord, based upon whether the land worked belonged to either the church or the lord. This is also where we get the term 'landlord' from.
In order for this not to have been the case would mean that the Church at this time, and in this locale, was way more Liberal than could ever be accounted for anywhere else. This is probably the central issue forming the original conservative / liberal dialectic tension between the entitled prerogatives of the oligarchical nobility, the related interests of the Church versus anybody below the level of freeholding gentry, certain craft artisans, or Jews (that is ... serfs).
As far as I know, what was accomplished was the transfer of tithe income from the Church to the Crown, from where Henry could divvy up the money the way he saw fit. Either to his personal interests or to support the new state Church, actually a difference without a distinction.