King Charles has asked for a surge in profits from £1 billion worth of six new offshore Crown State wind farms to be used for “wider public good.”
The Royal Household’s public funding is based on 25% of Crown Estate profits. The Crown Estate is an independently-run commercial business. Profits go to the treasury, which then serves as a benchmark for the level of public funding the royal family receives. Known as the Sovereign Grant, last year the profits were worth £86.3 million.
During his Christmas speech, the monarch spoke on the pressures of the cost of living. He wants to reduce the percentage of Crown Estate profits kept by the treasury and, in return, use it for public spending.
Profits are expected to be significantly boosted by the deals with the six new offshore wind farms. The farms are collectively worth £1 billion per year for at least three years in fees. Those fees come from firms buying to build wind farms on the Crown Estate offshore sites.
The Sovereign Grant is based on 25% of Crown Estate profits. This is a temporary increase compared to the usual 15%. The extra funding is being used for repairs and renovations at Buckingham Palace. The grant is also used to pay for the costs of working royals for things such as travel, upkeep of royal palaces, and official engagements.
A review of the percentage of Crown Estate profits going into royal funding is being reviewed with the treasury. A decision is expected to be made in the next few months.
Anti-monarchy campaigners, Republic, reject the move as a “cynical PR to pre-empt a government decision to reduce the percentage.”
Three new offshore wind farms are located off the North Wales, Cumbria, and Lancashire coast. There are then three in the North Sea off the Lincolnshire and Yorkshire coasts.
Once the sites are developed, the goal is for them to generate enough electricity for seven million homes. This will add to the existing 36 operational offshore wind farms on Crown Estates. Those sites are off the coasts of England, Wales, and Northern Ireland.
