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What reform if any is needed in relation to Crown Estate Property? Subletting of royal properties currently in the news.....

(72 Posts)
LemonJam Sun 07-Jun-26 11:36:28

Dr Craig Prescott, a specialist in UK constitutional law at Royal Holloway, University of London, said from a property law perspective it was perfectly normal to get a lease on an estate and then sublet different parts of it. However, when it came to royalty, perception was key.

“The perception is of people living in massive palaces or properties, and the concern is that they’re getting a very good deal or, worse, making money from it,” Prescott said. The fact it was a crown estate property led to “more scrutiny” because its profits go to the Treasury, he said, adding that Mountbatten-Windsor had paid £7.5m upfront at the start of his lease.

The royal household manages and maintains the land and buildings in the occupied royal palaces estate through the sovereign grant. The occupied palaces are not owned by the monarch, but held “in the right of the crown” in trust for the nation, and include official residences such as Buckingham Palace, Windsor Castle, St James’s Palace, Clarence House and Kensington Palace.

The royal household generates rental income to help support the monarch in official duties by charging for residential properties within the occupied royal palaces estate, which amounted to £3.6m in 2024-25. As of May 2026, the royal household had 255 properties available for use within the occupied palaces. Before 2011, the Department for Culture, Media and Sport was accountable to parliament for their upkeep, and delegated responsibility to the royal household in return for an annual grant.

Under David Cameron, the Sovereign Grant Act removed the responsibility of the secretary of state so that in future the properties would be maintained by the monarch out of the grant.

Prescott said: “The problem is essentially of perception here. That all this is so complicated and difficult to explain and understand; what is public and what is private is really quite a complex question at times. The reality is hidden behind all this complexity and that doesn’t help for public understanding.”

M0nica Sun 07-Jun-26 21:30:56

Samwam

The royals, including those who do few public engagements, are benefiting from free palatial homes in Kensington Palace and St James's Palace.

Others are getting massively subsidised rents which are paid for by Charles's Duchy income.

The so-called 'privy purse' which the royals use to pay for some of these palatial homes is also funded by public funds, drawn from the state owned Duchy of Lancaster.

Eleven royals get free homes in Kensington Palace and St James's Palace.

Multi billion worth public property for the royals use cannot be justified. Good that the Audit Office is looking into this.

No member of the royal family gets -free- housing, they all pay the market rent.

Nor are these members of the RF paying the rent from the privy purse, which is limited to cover the expenses of undertaking ryal duties. They pay it from their private income, which all of them have, or it is paid by someone else from their private income

I do wish people would checktheir facts before reaching opinions on incorrect information.

OldFrill Sun 07-Jun-26 23:50:14

M0nica

Samwam

The royals, including those who do few public engagements, are benefiting from free palatial homes in Kensington Palace and St James's Palace.

Others are getting massively subsidised rents which are paid for by Charles's Duchy income.

The so-called 'privy purse' which the royals use to pay for some of these palatial homes is also funded by public funds, drawn from the state owned Duchy of Lancaster.

Eleven royals get free homes in Kensington Palace and St James's Palace.

Multi billion worth public property for the royals use cannot be justified. Good that the Audit Office is looking into this.

No member of the royal family gets -free- housing, they all pay the market rent.

Nor are these members of the RF paying the rent from the privy purse, which is limited to cover the expenses of undertaking ryal duties. They pay it from their private income, which all of them have, or it is paid by someone else from their private income

I do wish people would checktheir facts before reaching opinions on incorrect information.

Possibly you're not aware of this recent report Monica, it contradicts what you're claiming and the RF accept it.

Royal Family property arrangements vary according to requirements and provider - NAO press release share.google/2qJYfFGcu9c6ua0hp

OldFrill Sun 07-Jun-26 23:51:04

The link is to the press release but you should be able to access the full report there too.

M0nica Mon 08-Jun-26 08:03:41

I read reports and it said that all RF members paid a rent and all but a few were paid at market level. I think the only ones that were below market rate were for older members of the RF and have lived in their houses for decades.

The most important thing is that essentially what is happening about the Crown Estate and its relationship witht he RF, is that no one has really looked at it for sometime and the recent examinatin has shown there are some anomalies that need to be modernised.

This sort of thing happens in companies, charities, family. Every so often you look at how a longstanding system has been working and revise it, or not, to meet modern conditions.

But wild claims by some people that the RF pay no rent for their houses, the fuss about AMW renting out cottages on an estate he had a long lease, are wrong and driven more by their personal beliefs that checking the facts and responding t those. In AMW's case, he was not renting the Royal Lodge, but leasing it and that is how leasehold works for anyone. His actions fell fully within current leasehold law, in the way that law also applies to every other leassee in the country.

Samwam Mon 08-Jun-26 09:19:48

They have lots of houses grand properties that they have use of rent free or heavily subsidised. The audit office is looking into their finances now the article that Norman Baker and Andrew Lownie article campaigning for financial and other reforms needed to the monarchy.

William has said he pays top rent for his latest home he knew there is to be an audit soon. After briefing the press that THEY would pay for the renovations of their new “forever home”, it turns out the Crown Estate sank a total of £396,993 into the Windsor home in 2025 to make it 'suitable' for them. This means the repair costs alone exceeded the average property value in England, which is £268,000, by more than £100,000.

There is no tax on the Duchy of Cornwall as it is on other similar business conglomerates. William pays £7 million he should pay £10 million as he receives £25 million and counting.

All I can say is good that the National Audit Office are now looking at the monarchy finance the other reforms are needed too.

Samwam Mon 08-Jun-26 11:24:10

THE TIMES VIEW
Grace and favour homes: cost of the royal family is ballooning
A report on properties has disclosed how the House of Windsor benefits from free and cut-price homes at the expense of the taxpayer. shock

Just saw this it is behind a pay wall

Silvershadow Mon 08-Jun-26 12:44:15

What about places used by politicians such as Chequers. Do they pay going rate for staying in them? Somehow I doubt it.

NotSpaghetti Mon 08-Jun-26 12:53:03

Grandmaofone
Yes, apparently the Balmoral Estate does encompass Birkhall.
I just looked this up. ​Prince Albert bought Birkhall in 1849. It was passed down to him.

And yes, he still owns property in Transylvania (which I hadn't even thought about), sorry.

Clarence House isn't his though.

M0nica Mon 08-Jun-26 12:53:28

I think the people who donated places like Checuers to th egovernment usuall formed trusts and elft money for their uptake. I suspect that these trusts are now funded through rich supporters of the party in power and occupying them.

They are also used for government purposes foreign government people sre invited to stay there and most privste negotiations take there.

Trump has stayed there, also German and Danish Ministers and,I think Zelensky stayed there and talks took place.

NotSpaghetti Mon 08-Jun-26 12:57:08

It was passed down to him.

...by this I mean Charles.

PamelaJ1 Mon 08-Jun-26 16:59:38

A relative of mine has just sold her leasehold property.
She bought the property and looked after it , repaired and updated it whilst paying £11/year to whoever the person/company owned the freehold.
Isn’t that what the King’s brother has been doing?
My relatives house was just a little less grand than Andrew’s!

NotSpaghetti Mon 08-Jun-26 18:12:36

...But she will have bought the lease.

PamelaJ1 Mon 08-Jun-26 18:50:06

NotSpaghetti

...But she will have bought the lease.

Didn’t he?

DaisyAnneReturns Tue 09-Jun-26 08:44:29

"Honestly, I think our Royals own far too much property in the UK!" Cossy 07-Jun-26 11:50:11

Rather than attack one family shouldn't we be looking at the fact the fact that we are reverting to the past were a few families or individuals owned thd vast majority of our countries assetts and the laws that currently help them to do this. The Royal Family are not alone in this.

MaizieD Tue 09-Jun-26 08:52:53

I don’t think we’re reverting to the past, DAR when it comes to property ownership , I think we’ve never left it.

DaisyAnneReturns Tue 09-Jun-26 08:56:32

I'm afraid you are nearer the mark than I would like to believe Maizie.

NotSpaghetti Tue 09-Jun-26 15:59:56

Yes. PamelaJ
Was (I thought) pointing out that the rent was in conjunction with the purchase of the lease. Not just a super-cheap house!

Apologies if that wasn't clear.

NotSpaghetti Tue 09-Jun-26 16:02:16

I think, Casdon he's also thought of well in Wales on the whole as he actually lived in Valley (Anglesey) when he was first married.

Grantanow Tue 09-Jun-26 17:20:08

Are the Royals exempt from inheritance tax? If so, why?

NotSpaghetti Tue 09-Jun-26 17:36:36

Only the actual sovereign.

NotSpaghetti Tue 09-Jun-26 17:41:21

It was the Jojn Major government that made this law.
Inheritance tax is waived only for "sovereign-to-sovereign" transfers (assets passing from the dead monarch to the next immediate successor).

The arguments were:
The Monarch cannot freely work, trade, or liquidate assets to grow their wealth in conventional ways. If they paid 40% on it then they would have diminishing assets.
And
Many private royal assets (such as Sandringham and Balmoral) serve an official state function as well as a private one. The government argued that the Monarchy needs sufficient independent financial resources to maintain its traditional role in national life without being entirely reliant on the taxpayer.