Britain’s King Charles III is now set to receive a significant pay raise of £45 million after profits at The Crown Estate more than doubled, reaching an impressive £1.1 billion in the 2023-24 financial year. These profits, which experienced a 148% increase, have resulted in the Sovereign Grant, which funds the official duties of the Royal Family headed by King Charles III, rising by over 50% to £132 million in the following year. The Crown Estate is responsible for managing a national portfolio of historical and commercial land-holdings, with its profits being handed over to the government in exchange for a percentage that supports the monarchy.
The substantial increase in profits for The Crown Estate can be largely attributed to the sale of options and leases on offshore wind projects surrounding the British Isles. These wind projects, which are owned by The Crown Estate, have been a significant investment focus for the King, who is passionate about sustainable energy initiatives. The CEO of The Crown Estate, Dan Labbad, has credited the record-breaking results to decades of dedication to offshore wind development, as well as the management of a diverse and resilient property and land portfolio.
In addition to the increase in profits for The Crown Estate, the separate accounts published by Buckingham Palace for the financial year 2023-24 have shed light on the breakdown of royal expenses. The King’s coronation, which took place in May last year, incurred a cost of £800 million from the Sovereign Grant. Furthermore, staffing the royal household amounted to £27.9 million, while property maintenance costs reached £47 million due to ongoing renovations at Buckingham Palace. Travel expenses for the royal family totaled £4.2 million, with a four-day visit to Kenya by the King and Queen costing £167,000.
Legislative Changes and Future Investments
CEO Dan Labbad has expressed enthusiasm for forthcoming legislative changes that will expand The Crown Estate’s investment powers. This development, announced in a recent address by King Charles III, is expected to enable the estate to have an even greater impact on the long-term national interests of the United Kingdom. Labbad believes that these expanded powers will allow The Crown Estate to contribute significantly to areas such as decarbonisation, energy security, nature recovery, regeneration, and economic growth.
The substantial increase in profits for The Crown Estate has not only led to a bump in the Sovereign Grant allocated to King Charles III but also highlights the significant investments made in sustainable energy projects and property management. As the royal household continues to navigate financial responsibilities and ongoing renovations, the focus on long-term investments and the impact on national interests remains a key priority for the monarchy.