How do members of the British royal family live?

2024 Author: Richard Flannagan | [email protected]. Last modified: 2023-12-15 23:55

The British royal family does not possess real power in the country, does not pass laws or abolish them, but performs mainly ceremonial and social functions. But the fact that the Windsor dynasty is very rich is beyond doubt: precious jewelry, luxury cars, art collections, magnificent palaces, designer clothes, travel … All this costs money, and a lot. A logical question arises: if the monarchs do not rule the country and do not work anywhere, where do they get finances for a comfortable life? Do they really live on taxpayers' money? It turns out that everything is not as simple as it seems.

Long live the queen and her "personal wallet"

The royal court annually reports on its spending, and this has become a kind of tradition. But the latest report made ordinary citizens nervous. It turned out that the cost of maintaining the royal family increased by 41%. If, nevertheless, imagine that money is taken from the pockets of taxpayers, then it turns out that every Englishman "gives" to the symbols of the nation 1.24 pounds a year. And this is a ridiculous amount, to be honest. But let's figure it out.

Elizabeth II is not one of the richest people in England and is not even listed in the first hundred of the Forbes list - her fortune is estimated at "only" about half a billion dollars. Nevertheless, it is the queen who, one might say, is the breadwinner of her large family.

In general, monarchs in the UK are not legally required to report their income. Nevertheless, Elizabeth receives a considerable part of the profits from the Duchy of Lancaster. Conventionally, these lands do not belong to a specific person, but are the property of the monarch who rules at the moment. However, it is forbidden to sell the property, and you can use the income from it. By the way, last year the duchy brought the "crown" a net profit of more than 20 million pounds. And this is not surprising, since Lancaster is a popular destination among tourists and businessmen of all stripes. It is not taxed, but it is known that since 1993 Her Majesty has been paying it voluntarily.

In general, no analyst knows the real income of the Queen. But it is known that she has her own investment portfolio, she owns real estate and several palaces. In addition, Elizabeth has her own collection of stamps, started by her grandfather George V, jewelry and works of art. The Queen also has lesser known sources of cash flows. For example, every year the gardeners of Windsor Castle grow poinsettias, many of which are sold. And the offspring of hunting "royal" dogs are also highly valued.

Sovereign grant

Maintaining a large staff of servants, maintaining Buckingham Palace and royal family residences, paying utility bills, travel, entertainment … all require a lot of money. They are taken from the so-called sovereign grant. It is formed from a fixed percentage of the Crown Property, which includes the land and property of the country, including those located outside its borders. This also includes buildings, streets, museums, stadiums, The Crown Estate and even the coastlines. This property does not belong to private individuals or the state, but is managed by an independent Council. He reports annually on expenditures to the House of Commons and to the monarch, who has partial control over affairs. Today, the Windsors receive 15% of the revenue from Crown Property annually. But for security and various ceremonies, the queen spends money mainly from her "personal wallet".

On average, thanks to the "sovereign grant", residents of Buckingham Palace receive 35 million pounds each year. It turns out that formally the funds are still allocated from the state budget, hence the talk about Her Majesty's family living at the expense of taxpayers.

Prince Charles makes money too

Forbes estimates the fortune of Crown Prince Charles at about $ 400 million. And he, of course, did not accumulate these funds, but received thanks to his own Duchy of Cornwall. It was created in the 14th century by King Edward III, who passed it on to his eldest son. Since then, a tradition has arisen to give this territory to the heirs of the Crown for use.

The area of Cornwall is 530 square kilometers, and the lands of the duchy are located in 23 counties of Great Britain. There are various agricultural enterprises, estates and other real estate here. All of this, naturally, brings a good and stable income - about £ 30 million annually. The prince spends part of this money on the needs of the family, and the rest goes to charity (at least that's what the official figures say). As with Lancaster, Charles may not pay taxes on Cornwall's profits, but he still does not shy away from this obligation.

What are the rest of the queen's relatives doing?

Given that the main "earners" in the royal family are Elizabeth II and Charles, it seems that the rest of its members live only at the expense of older relatives. But do not forget that they also have their own savings. So, to princes William and Harry, great-grandmother Elizabeth Bowes-Lyon bequeathed an impressive collection of jewelry. They also left jewelry from Diana's mother.

As for their wives, they did not come to the family empty-handed. So, Kate Middleton was a very wealthy bride, whose fortune was estimated at $ 10 million. Meghan Markle was able to save $ 5 million for her dowry.

One of the most recognizable global brands

Despite the fact that the royal family is able to depend on no one, the outrage of taxpayers is understandable. After all, she still receives the bulk of the funds from the lands and property located in the country, and about 300 million pounds sterling is spent annually on the maintenance of the Windsors.

But a couple of years ago, analysts conducted an analysis and came to an interesting conclusion. Thus, the total fortune of the royal family is estimated at about 25 billion pounds. But if it existed as a separate brand, it could have received at least 60 billion. Indeed, this is the cumulative benefit that firms that benefit from the “royal family effect” receive.

It is on the existence of the monarchy that Great Britain earns at least 2 billion annually. After all, it cannot be denied that Elizabeth II and her relatives are the face of the country, and their every step is widely covered in the press. In addition, both Kate Middleton and Meghan Markle have become models of taste and style. This means that many fashionistas around the world follow the clothes of which designers they wear.

We must not forget that the support of the Windsors to this or that charitable organization means that financial flows will flow to it. And the series "Crown", filmed about the life of monarchs, once broke all records in popularity. And, of course, you shouldn't forget about tourism. The flow of people wishing to visit places associated with the monarchy does not decrease, and after royal weddings it invariably increases. After the marriage of William and Kate, for example, souvenirs with their images sold out for 200 million pounds.

And even the title "yard supplier" gives a certain guarantee of quality and reliability. After all, this patent must be earned, and if it succeeds, then there will be many willing to cooperate with those whom the queen herself trusts. It may seem to many that the monarchy is costly to the British treasury. But, despite the costs, in fact, Elizabeth and her family fully justify their existence.