From King Charles a billion pounds to the people, what’s behind the “gift”

From King Charles a billion pounds to the people, what’s behind the “gift”

A “gift” to the people to raise the approval of the subjects and forget the poisons hurled by his son Harry at Buckingham Palace? Or a move to avoid a media-hyped own goal? King Charles III has pledged to give the ‘general public good’, not the royal family, £1 billion in profits from six new offshore wind farms owned by the Crown Estate.

By law, the public funding of the Royal House is based on 25% of the profits earned by the Crown State, but now the sovereign wants to reduce this percentage so that the Treasury retains more to finance public spending. His announcement, re-released by the British media, follows the Christmas message in which the king had highlighted the pressures of the global crisis on the cost of living for citizens.

His decision was hailed as a concrete step towards avoiding what could have been an embarrassing increase in royal income. The Crown Estate is an independently run business whose profits go to the Treasury, but those profits are used to assess the level of public funding for the royal family, known as the Sovereign Grant, which last year was worth £86.3 millions. These profits are now expected to be significantly augmented by deals to develop six new offshore wind farms, worth a combined £1 billion a year for at least three years in fees from companies buying the rights to build wind farms on the offshore sites of Crown Estate. Buckingham Palace has announced that, in light of “windfall revenue from offshore energy”, the King wants to reduce the share of profits used to calculate the subsidy.

Currently, the Sovereign Grant is based on 25% of Crown Estate profits – a temporary increase from the usual 15% – with the extra funding being used for repairs and renovations to Buckingham Palace. The donation is used to pay for royal work costs, such as travel to official engagements and maintenance of royal palaces. A review of this percentage of Crown Estate profits going into royal funding is underway with the Treasury, with a decision expected in the coming months.

Source: IL Tempo