It was such a valuable title that it led to a tussle for the Crown itself and the Duchy of Lancaster is still making waves over 600 years later.
The Duke of Lancaster is a title that is always held by the Sovereign and the Duchy of Lancaster provides an income to the monarch. In recent days, it’s come under scrutiny as a joint investigation from the Sunday Times and Channel 4 Dispatches programme sought to fully analyse all its holdings for the first time in years.
The newspaper and programme set out to catalogue every plot of land owned by the Duchy of Lancaster (belonging to the Monarch) and the Duchy of Cornwall (held by the heir to the throne). They revealed that the two duchies charge income from nearly 5,500 properties and rights.
But the Duchy of Lancaster has long been in the spotlight. Its vast wealth began in the 14th century under an ambitious earl, Henry Grosmont, who was eventually made a duke. Henry was phenomenally rich and on his death, his fortune went to his two daughters. The younger of these, Blanche of Lancaster, had married John of Gaunt, fourth son of King Edward III. As well as being the ultimate power couple of the court, they were also the foundation of a fortune that still provides for the Monarch today.
Their eldest son, named Henry, should have inherited the duchy when his father died in February 1399. However, Henry’s cousin, King Richard II, decided the cash would be better in his own pocket and deprived his relation, then in exile, of his duchy and his fortune. Henry was having none of it and promptly invaded England to depose Richard. He met with little opposition since his cousin had become something of a despot and was widely despised. Richard had played for a huge fortune but ended up losing his throne. He died in mysterious circumstances in 1400.
One of the first acts of the new King Henry IV was to declare that the Duchy of Lancaster would be changed to be held “separately from the other possessions of the Crown.” It has passed down to Sovereigns ever since.
The Monarch now works with a team, including the Chancellor of the Duchy of Lancaster, a Duchy Council, and a Management Board to handle the portfolio. They meet at least five times a year to discuss issues related to the Duchy.
The Chancellor is responsible for the administration of the Duchy and answers directly to The King , even though he or she is appointed on the recommendation of the government.
The King, also the Duke of Lancaster, voluntarily pays income tax on the money he gets from his duchy but it also holds a special status exempting profits from corporation tax.
Now, the size of the holdings is once again generating interest. But then this is a duchy that led a king to lose a crown.
