King Charles becomes first British monarch to publish tax bill in modern era, pays $17 million in 2024-2025 | Today’s news

In an effort to increase the transparency of the British monarchy’s finances, King Charles and Prince William published their personal tax obligations on Thursday (local time) for the first time in their current roles.

King Charles voluntarily paid 12.9 million pounds ($17 million), while his son paid 7.76 million pounds (roughly $10 million) in personal income and capital gains taxes for the 2024-2025 tax year, Bloomberg reported, citing statements from Buckingham Palace and Kensington Palace.

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Details of King Charles’s tax bill

While Buckingham Palace has not disclosed the rate of tax the monarch pays, the latest accounts for the Duchy of Lancaster, one of King Charles’ primary sources of personal income, showed it received £26.5m in dividends in 2024-2025. A separate report on the Prince of Wales revealed he “pays the highest rate of income and capital gains tax on all his personal income”.

While the monarch’s tax bill rose from £11.7m in 2023-24 to £12.9m in 2024-25, his son Prince William’s total fell from £8.34m that year.

According to reports, the British monarch owns a wide range of properties, including castles and riverbeds, making him one of the richest individuals in the world. But his fortunes are also complex, shaped by centuries-old arrangements that differ markedly from those governed by most other wealthy families.

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James Chalmers, keeper of the privy purse, said in a statement: “While royal finances can sometimes appear complex, the underlying system is fundamentally clear, structured in law and refined over time to ensure the monarch can serve with independence, accountability and in the long-term interests of the nation.”

Previously, King Charles, who will become monarch in 2022, published his tax payments when he was Prince of Wales. His late mother, Queen Elizabeth II, decided to start paying income and capital gains tax in 1992 after Windsor Castle was severely damaged by fire. However, no monarch in modern times has yet published their personal tax bill.

How is the royal family financed?

To carry out their official duties, the royal family is funded through the Sovereign Grant, an annual lump sum derived from an agreement between the monarch and the UK government dating back to 1760. The grant is usually equal to up to a quarter of the profits generated by the Crown Estate, which includes Regent Street, a major shopping destination home to luxury fashion brands and the iconic Hamleys toy store.

In 2027, the Sovereign Grant, which is tax-free, will be reduced to £99.9m from £137.9m this year, according to a statement from the Treasury. The reduction in the grant will follow a decades-long modernization of Buckingham Palace. It also reflects the revenue outlook for the Crown Estate.

The monarch’s profits from the Duchy of Lancaster, which owns more than 40,000 acres of land across England and Wales, also serve as income for the monarch of the United Kingdom and help fund the activities of other British monarchs. The duchy has been the personal property of the reigning monarch since 1399.

A similar financial arrangement is made for the Prince of Wales and his family from the Duchy of Cornwall, which has around 130,000 acres of land, mostly in south-west England.

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Reports suggest the revelation by the British monarch comes at a crucial time as the royal finances face increasing scrutiny. In early June, the National Audit Office announced that former Prince Andrew Mountbatten-Windsor received private income from subletting three cottages on the royal estate where he lives, paying only a nominal “pepper” rent.

Buckingham Palace to prevent it from becoming the King’s personal residence

The royal finance statement also included an update on the country’s most famous landmark, Buckingham Palace, following its restoration.

The statement announced: “The King and Queen will not make Buckingham Palace a personal residence,” adding: “Reflecting Their Majesties’ wishes for the palace to remain the ceremonial center of royal life, the main workplace of the royal household and a national heritage site with increased public access.”