How much money the royal family brings in as the Sovereign Grant increases by millions
There has been a huge rise in the Sovereign GrantIn royal family news, as the Sovereign Grant increases, how much money does the royal family actually bring in?
Thanks to six new offshore wind farms, there has been a surge in profits from the estate.
The boost means the monarchy is set to get an extra £45m. Profits from the Crown Estate have increased, meaning a rise in the Sovereign Grant – which pays for the royal family’s running cost.
How much money does the royal family bring in?
An exact figure isn’t known. However, it’s said to be in the billions.
The royal family reportedly mainly brings in money through tourism. Many people around the world visit the UK to see the iconic Buckingham Palace and other residences each year.
Meanwhile, many also travel to the country to attend big royal events throughout the year, to catch glimpses of the royal family.
Sovereign Grant which pays for royal family running costs is rising
What exactly is the Sovereign Grant? The money from the Grant, provided by the government, pays for the official engagements and maintenance of residences of the monarchy funded by the taxpayer. And in return, King Charles gives up revenue from the Crown Estate – a property business owned by the monarch.
According to annual reports, the grant will rise from £83.3m in 2024/25 to £132m in 2025/26. It’s believed this rise will help pay for the final renovation of Buckingham Palace.
The finance report also showed what their future plans are spending wise.
It’s reported that they plan to buy two more helicopters. Despite the Sovereign Grant increase, the funding of the monarchy was actually reduced from 25% to 12% in recent years.
This was from the Crown Estate’s net profits. And it was down to rising income that was expected from the offshore wind farms.
While it’s a property business owned by the monarch, the Crown Estate is ran independently. And it’s believed that King Charles wanted its profits to go to public use.
If this deduction never happened then the monarchy would have received £275m in this year.
There will be a review in 2026-27 period that will review the royal funding to make sure everything is kept at an “appropriate” level.
So that means the Sovereign Grant has risen, based on funds over two years, and now sits at £132m.
What are they spending money on?
One of the main things the royal family will be spending their money on is new aircrafts.
Despite the criticism of not using environmentally-friendly travel measures, it’s believed the family see the helicopters as a “key component” for their work.
However, it was noted that in the long-term, their plan is to switch to electric cars.
There has also been a number of friendlier measures in place. This included converting the king’s two state Bentleys to run on biofuel, as well as increasing the use of sustainable aviation fuel for royal flights.
Although, there had been a noted 3% decrease in natural gas and heating emissions across the royal estates.
The report does indicate that Charles is trying to do things differently, as he continues campaigning on climate change issues.
It looks like Windsor Castle will be fitted with solar panels for the first ever time. And the current gas lanterns at Buckingham Palace are being fixed for specially designed electrical fittings. This is so they improve their energy efficiency while still keeping the historic appeal.
Royal events and engagements
£600,000 from the Sovereign Grant was spent on the coronation events for King Charles in 2023. This meant the total for him taking the throne came to £800,000.
However, the amount spent on engagements significantly decreased last year due to Charles and Kate’s respective cancer journeys.
Their withdrawal from royal duties meant there were not as many engagements and events throughout the year.
Despite this, there were still more than 2,300 official engagements by members of the royal family. This was both in the UK and overseas.
However, this number is significantly lower than the 2,700 engagements the year prior.
It’s believed Charles only accounted for 464 engagements throughout 2024. And his most expensive was the state visit to Kenya – which cost £167,000.
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