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King Charles III and Queen Camilla are seen on the balcony of Buckingham Palace on May 6, 2023 in London, England.
The British Royal released its annual financial report on Thursday, revealing that official spending for 2022-2023 has exceeded the Sovereign Allowance and other royal earned income.
It attributed the high cost to a “special transition period” in the Royal Family, which saw Queen Elizabeth II’s funeral last year and King Charles III’s coronation in May, as well as An ongoing refurbishment project at Buckingham Palace.
In total, the Royal Family’s net spending was reported to be £107.5 million ($136 million), compared with a total Government Allowance of £86.3 million ($109.1 million) and revenue Additional imports were £9.8 million ($12.4 million).
The Sovereign Grant – an annual sum from the government – is essentially a spending account, covering travel, security, staffing and maintenance costs for the royal palaces. The three main sources of income for the Royal family are the Sovereign Grant, the Duchy of Lancaster and the Duchy of Cornwall, their personal property and investments.
“More formal spending than Sovereign Allowance and additional income earned, with net spending of £107.5 million ($136 million), up 5% year-on-year due to important work important implications for the Buckingham Palace Reserve and costs associated with the change of Dynasty, as well as the impact of a 10.1% increase in the Consumer Price Index,” Buckingham Palace said in a statement.
High official spending led to a drop in Government Allowance reserves by £20.7 million ($26.2 million) last year.
“This year’s statement addresses an important transition period for the Royal Family, reflecting Queen Elizabeth II’s Platinum Jubilee and National Mourning, the King’s Coronation, Her Majesty’s coronation and the gathering of staff from the two households,” the palace statement said.
“The total amount of sovereign subsidies for the period 2022-2023, amounting to £86.3 million (2021-22: £86.3 million) ($109.1 million), is made up of £51.8 million ($65.5 million) core allowance to fund official business trips, property maintenance and running costs of The Sovereign household. The Core Allowance is equivalent to 77p (97 cents) per person in the UK,” the statement added, noting that the total Sovereign Grant was unchanged since last year.
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The UK’s population is around 67 million, meaning the Sovereign Allowance is equivalent to £1.29 ($1.63) per person in the country, according to the palace.
The country’s main anti-monarchy group has criticized the royal family for continuing to increase public spending, as well as the way the Royal family presents the figures.
“Royals have long concealed their true cost, which we have calculated to be at least £345m (£436.3m). That’s enough to pay for 13,000 new nurses or teachers,” said Graham Smith, executive director of campaign group Republic. “Trying to justify this by dividing the number by every man, woman and child is pointless.”
“Our £345 million figure is much more accurate than officially reported, when we take into account the costs to the local council, local police force, revenue of the two Principalities and security, Smith added, calling for more transparency of the monarchy, which his campaign team seeks to abolish.
The Royal Secret Wallet curator, Sir Michael Stevens, said in the palace statement, “As we look back on those 12 months, we reflect on how the whole country has come together to celebrate Platinum Queen Elizabeth II in June, and mourn the late Queen in September while marking the King’s Coronation, as well as the months leading up to Her Majesty’s Coronation.”
Stevens also said that last year saw many throwback events that were missed during the pandemic years, including the Palace Garden Party, Maundy, Garter and King Charles state visits .
“Like other institutions, the Royal Family is not immune to the effects of the general challenges of the pandemic and inflationary pressures, resulting in the receipt of a flat sovereign grant. The figure for the year remained unchanged at £86.3 million, with a significant proportion funding the Buckingham Palace Reservation, now in its seventh year. This figure will remain unchanged at £86.3 million for 2023-24,” added Stevens.
“The questions that need to be asked are whether this spending is ethical, a good use of public money, and what else could it be spent on,” said Smith of the Republic campaign group. ”
The personal wealth and lifestyle of King Charles and the British royal family have been called into question this year, as the UK grapples with a cost-of-living crisis that has left many unable to pay the bills. and household basics.
Meanwhile, royal fans argue that the monarchy offers value to UK taxpayers because it promotes tourism and consumer spending, especially during major events.