King Charles III to divert millions of pounds for 'public good' as profits surge from new deal
King Charles has chosen to redirect the profits from the windfarms for wider public good
Jane Barlow
The King has stepped up action to help British families struggling with the rising cost of living by asking for profits from a Crown Estate windfarm deal to be used for "wider public good", rather than as extra income for the Royal Family.
The £1 billion deal, totalling six projects, was announced today by the Crown Estate and could power 7 million homes.
This has generated a lump sum of money which, under current rules, would top up His Majesty's official funding (the Sovereign Grant).
However, the King has made it clear he wants the British public to benefit from the profits instead.
King Charles will be coronated in May 2023
Isabel Infantes
A Buckingham Palace spokesperson said: “In view of the offshore energy windfall, The Keeper of the Privy Purse has written to the Prime Minister and Chancellor to share The King’s wish that this windfall be directed for wider public good, rather than to the Sovereign Grant, through an appropriate reduction in the proportion of Crown Estate surplus that funds the Sovereign Grant.”
The level of Sovereign Grant funding is decided by the Prime Minister, Chancellor of the Exchequer and The Keeper of the Privy Purse, but it is understood the King wished to make his view clear.
The Crown Estate is an ancient portfolio of lands and property belonging to the reigning monarch but is not King Charles III's personal property.
The King surrenders all profits to His Majesty's Treasury, which then pays a percentage of those profits to support the monarch's official duties.
This percentage of profits is called the Sovereign Grant and is usually set at 15%, however, the ten-year reservicing of Buckingham Palace has increased funding to 25% of the Crown Estate surplus.
The Sovereign Grant pays for building maintenance, staff salaries, official travel and official events.
Kirsty O'Connor
The King is likely to be pleased with the Crown Estate's announcement of a "major milestone for the UK's energy security and net zero commitments".
For over fifty years, His Majesty has used his high profile and influence to champion action for a sustainable future.
Gus Jaspert, Managing Director, Marine, at The Crown Estate said: "Today marks a significant milestone for the UK on the road to net zero, unlocking green energy potential for more than seven million homes and demonstrating to the world that the UK offshore wind industry is growing at pace to help meet the climate challenge".