Former Shadow Minister, Chris Williamson, reveals how the latest report suggests that the monarchy has become a severe drain on the UK finances.
THOUGHT FOR THE DAY
— Chris Williamson (@DerbyChrisW) October 28, 2024
Isn't it time we abolished the monarchy? It's an anachronistic throwback to a bygone era.
This parliamentary report reveals the scale of the handouts the royals receive, and the numbers will make you wince. https://t.co/WztgJnnoSf pic.twitter.com/OYJpIb5Ivn
The UK must be brave and strip the monarchy of its public funding
The modern British monarchy, far from being a purely ceremonial institution, actively profits from vast private estates and assets held under the Duchies of Lancaster and Cornwall. Recent investigative reports by Channel 4’s Dispatches and The Sunday Times have cast a glaring light on the extent to which these royal estates exploit public bodies, exposing a complicated financial entanglement that costs taxpayers millions annually. In an era that increasingly values transparency, sustainability, and efficiency, it raises pressing questions about the continued relevance and cost of the monarchy, especially when many of these funds might be more effectively redirected to benefit critical public services.
The Duchy of Lancaster and the Duchy of Cornwall, both exempt from corporation and capital gains tax, generate substantial private income for the Sovereign and the heir to the throne. Valued collectively at well over £1 billion, these estates contain valuable lands, properties, and historic sites across England and Wales. While the Crown insists on their “commercial” nature, the financial impact on public bodies paints a different picture. According to the investigation, the Duchy of Lancaster recently charged Guy’s and St Thomas’ NHS Trust £11.4 million over a 15-year contract to store electric ambulances in one of its warehouses. This arrangement not only highlights the Duchy’s profit-driven approach but also raises the uncomfortable question of why an essential public service like the NHS is funneling millions to an institution that already benefits from taxpayer support through the Sovereign Grant.
Similarly, the Duchy of Cornwall reportedly charged the navy over £1 million since 2004 for the use of jetties on the Cornish coast. These funds are essential for maintaining military infrastructure, yet they are diverted to subsidize the Prince of Wales’s estate. The Duchy has also secured £600,000 in leasing agreements with state schools, which, in another time, might have received such support freely from the crown itself.
The King’s income from the Duchy of Lancaster rose by 5% to £27.4 million in the last financial year, while Prince William drew in £23.6 million from the Duchy of Cornwall. This income is distinct from the Sovereign Grant, funded directly by taxpayers to cover official duties. Yet, despite receiving these vast sums, neither King Charles nor Prince William are legally bound to pay income tax, though both have reportedly volunteered to do so. Even with such symbolic gestures, these numbers reveal a stark dissonance between royal wealth accumulation and the resource struggles facing Britain’s essential services.
Further complicating the issue, environmental standards seem inconsistently applied within royal holdings. Despite recent refurbishments, around 14% of homes rented by the Duchy of Cornwall and 13% by the Duchy of Lancaster fall below the legal energy efficiency rating threshold of E, some even rated at F or G. These failings, the report notes, are unlawful for private landlords across the country. Yet the Crown’s estates, which emphasize environmental goals publicly, continue to fall short, raising questions about accountability in properties under royal management.
Beyond the tax advantages and profits drawn from public institutions, the investigation highlighted the King’s continued wind farm income. Although he publicly advocated for a portion of the £1 billion Crown Estate wind farm deal to benefit the “wider public good,” the investigation showed that he would still profit at least £28 million from fees on cables crossing Duchy of Lancaster lands. This persistence in securing income from land-use rights, even in fields like renewable energy meant for public benefit, reflects a model where the monarchy continues to assert feudal rights to ensure a steady income stream.
These estates’ financial strategies reveal a troubling prioritization of profit over public welfare, suggesting that royal assets might better serve the public under different stewardship. While the Duchies of Lancaster and Cornwall have made efforts to highlight community and environmental initiatives, these appear inconsistent with their broader practices. A spokesperson for the Duchy of Lancaster emphasized the estate’s “compliance with all relevant UK legislation and regulatory standards” and pointed to improvements in energy efficiency across properties. However, these assurances do little to address the underlying issue: why should public bodies pay millions to a monarchy that already holds such immense private wealth?
💥 How embarrassing, I bet #PrinceWilliam is absolutely furious this has been leaked, right through the middle of his "end homelessness" PR stunt!
— Sally Lewis (@sallylewis488) November 3, 2024
PS, repost if you agree that #ThatFamily must go!#AbolishTheMonarchy #Dispatches pic.twitter.com/Ndxb5gtXG1
The defence of these estates as “commercial operations” is inadequate when examined alongside the burdens they place on institutions like the NHS, state schools, and the armed forces. The public’s contribution to the royal income through taxes and resource allocation no longer aligns with the needs of a future-focused nation. Instead of benefiting society, the estates funnel vast sums to private coffers under the guise of historical rights and ceremonial roles. This not only perpetuates outdated financial structures but also reveals the monarchy’s role as an increasingly anachronistic drain on public resources.
As Britain grapples with economic challenges, there is an urgent need to reconsider the role of these private royal estates. The funds paid to the Duchies of Lancaster and Cornwall could otherwise support public institutions directly, reducing the fiscal strain on vital services. As a country that values democracy and fairness, the continued flow of public money into royal estates seems antithetical to Britain’s future aspirations. Rather than preserving the monarchy as an untouchable institution, the nation might reconsider how its resources could better serve a modern society that prioritizes equitable growth and public welfare.
