Profits from the British monarchy’s multibillion-pound legacy portfolio of land and property holdings have surged 42 per cent.

The Crown Estate, which owns the seabed surrounding Wales, Northern Ireland and England up to 12 nautical miles, announced record £442.6 million net revenue profit, £129.9 million higher than last year.

This increase primarily reflects option fee income from the signing of Agreements for Lease for six offshore wind farms through the Round 4 leasing programme.

Photo: Nicholas Doherty

Dan Labbad, Chief Executive of The Crown Estate said:

“Our enhanced revenue from the Round 4 offshore wind leasing programme reflects the immense amount of ground-breaking work we have undertaken over the past two decades, working in partnership across many sectors, to create a world-leading offshore wind market.

The crown estate, an ancient portfolio of land and property including more than 200 sites in central London, belongs to the reigning monarch “in right of the crown” but it is not the king’s private property. The scale of the estate’s renewable energy windfall has delayed a decision by the prime minister and chancellor on what proportion of its wealth should be shared with the king. The funding formula is now being reviewed before an expected multibillion-pound deluge of wind power profits for the crown estate over the next decade, the Guardian said.

Devolution

The news of the record profit is expected to reignite the debate and calls for the break-up of The Crown Estate.  In January 2023 Plaid Cymru renewed calls for the devolution of the Crown Estate to Wales, following the confirmation of the six new offshore wind energy lease agreements.

A poll carried out by YouGov in May 2023 found that 58% of people supported devolving the Crown Estate to Wales, compared to 19% who opposed it (23% said they didn’t know).

‘Creating lasting and shared prosperity’

Labadd went on to say, “We are also laying the foundations for our long-term impact by seeking to address areas of national interest such as nature recovery, economic renewal and regeneration, the future of sustainable agriculture and helping to secure London’s position as a world-class city.

By working in partnership and remaining steadfast in our commitment to deliver, we are confident The Crown Estate can continue to enhance its contribution for the benefit of the nation, its finances and its future.”