**Recalculated Public Funding for King Charles III and Royal Family due to Boost from Offshore Wind Farms**
The U.K. Treasury announced that the amount of public funding for King Charles III and the royal family’s official duties has been recalculated for next year. This adjustment comes as a result of an unexpected profit boost from offshore wind farms on the monarch’s Crown Estate. The Treasury has decided to halve the proportion of the crown estate’s profits paid to the royals from 25% in recent years to 12% next year.
**Sovereign Grant and Crown Estate**
Charles and the royal family receive an annual Sovereign Grant from the Treasury, which is based on a proportion of profits from the crown estate. The crown estate is an independent entity that oversees a vast collection of land and property across the U.K. It has assets worth around 16 billion pounds, including some of the most valuable properties in London. Additionally, the crown estate manages coastlines and the seabed around the country.
**Windfarm Lease Deals Generate Windfall**
Earlier this year, the crown estate secured six new offshore windfarm lease deals. These deals have generated a windfall estimated to be worth 1 billion pounds a year. Charles, recognizing the potential for positive impact, has requested that the profits from these windfarm deals be used for the “wider public good,” rather than funding his official duties.
**Reduction in Proportion of Profits**
The reduction in the proportion of profits allocated to the monarchy stems from a review conducted by the Royal Trustees, which includes Prime Minister Rishi Sunak, the Treasury chief, and the Keeper of the Privy Purse. As a result of this review, the rate will be decreased to 12%, ensuring that the monarchy’s budget next year remains the same, without the additional 24 million pounds it would have received if the rate stayed at 25%.
**Funding Vital Public Services**
The Treasury emphasized that the money saved from the reduced proportion of profits will be redirected to fund vital public services for the benefit of the nation. This allocation aligns with Charles’ commitment to championing green energy and addressing the ongoing cost-of-living crisis faced by millions of British citizens. By reducing his share of the windfarm deal profits, the royal family aims to demonstrate their connection and relevance to wider British society.
**Constitutional Monarchy System and Sovereign Grant**
Under the U.K.’s constitutional monarchy system, kings and queens surrender profits from the crown estate to the government. These profits are not the private property of the monarch but are hereditary assets belonging to the sovereign only for the duration of their reign. The Treasury provides a fraction of these profits in the form of the sovereign grant to support royal duties.
**Private Incomes from Duchies of Lancaster and Cornwall**
In addition to the sovereign grant, Charles and his son Prince William receive private incomes from royal estates known as the Duchies of Lancaster and Cornwall.
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