Royals' Coffers Swell Amid Cost-of-Living Crisis, Sparking Outrage
Paul Riverbank, 1/9/2025The royal family's income is set to surge by £45 million, sparking outrage over lavish spending amid Britain's cost-of-living crisis, reigniting debates on the monarchy's relevance.The royal family's coffers are set to swell by a staggering £45 million (approx. $87 million) this year, thanks to a 53% surge in profits from the Crown Estate — a move that has sparked outrage among anti-monarchy campaigners and critics alike. As Britain grapples with a crippling cost-of-living crisis, the prospect of the monarchy receiving such a substantial pay rise from taxpayer funds has been deemed "scandalous" by Graham Smith, CEO of the advocacy group Republic.
"This is public money, all of this money comes from the government, at a time when the government is not able to properly fund schools, hospitals police...It is scandalous," Smith lamented in an interview with Town and Country Magazine. "Not only should it not be going up at all, it should be going down."
The Crown Estate, a vast portfolio of properties and assets owned by the reigning monarch, funnels its profits directly into the Treasury's coffers. A fraction of these profits — currently set at 12% — is then allocated back to the royal family in the form of the Sovereign Grant, which bankrolls their official duties, travel expenses, and the maintenance of their sprawling properties.
With the Crown Estate's profits soaring to a staggering £1.1 billion, primarily driven by the lucrative offshore wind farm sector, the Sovereign Grant is poised to skyrocket from £86.3 million (approximately $167m) in 2024-25 to a whopping £132 million (approximately $257m) in 2025-26. This windfall will finance the final stages of the 10-year, £369 million (approx. $740 million) renovation of Buckingham Palace — a project that has already drawn scrutiny for its exorbitant price tag.
While the royal family's defenders argue that their expenses are justified by their role in promoting Britain's interests and attracting tourism, critics contend that the monarchy's lavish lifestyle is an anachronism in an era of austerity. "It is scandalous," Smith reiterated, echoing the sentiment of many who view the royals' rising costs as a slap in the face to struggling families and underfunded public services.
As the debate rages on, one thing is clear: the royal family's financial fortunes are set to soar, even as the nation grapples with the harsh realities of economic turmoil. Whether this pay rise is a justifiable expense or a tone-deaf indulgence remains a matter of fierce contention, underscoring the enduring divide between those who revere the monarchy and those who question its relevance in the modern age.
