Tuesday, 22 January 2019

British Royals: What Do They Cost?


Royalists often point out that they cost around £1 per year per person. This excludes security cost of looking after the family. But a republican pressure group estimates that the public cost of the monarchy is closer to £350 million. This is funding for official duties – opening ceremonies, chairing charities, hosting garden parties, travelling and others. That may total 3,000 or more engagements.

The Queen, Prince Charles and others have private incomes from private landed estates and financial assets. The Queen earned £19.1 million in 2016-17 from a landed estate called the Duchy of Lancaster. Prince Charles had a revenue of £22.5m (2016/17) from the Duchy of Cornwall. Do they pay taxes? Queen voluntarily paid income and capital gains tax since 1992. Prince Charles paid tax of £4.76m.

So what are the financial benefits?

Visit Britain estimates tourism linked to royal residences made up 2.7 million visitors a year. Brand Finance, a consultancy, estimated their contribution to be about £1.8 billion a year. But if we put this in context, overseas visitors spent £22.5b in U.K. in 2016. And U.K. exports totalled £543 billion. In that sense, it is not that significant. However, if we are to view the Royal family from a political, moral, aesthetic one then the financial question is superceded.

References
1.         British royals by the numbers: what they cost (and bring in)
            (https://www.fastcompany.com)
2.         Does Royal Family really make financial sense for the UK economy?
            (https://www.independent.co.uk)




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