The Crown Estate, the vast portfolio of land and assets held by the monarch on behalf of the nation, is facing a major parliamentary investigation over its colossal profits from offshore wind farms.
Profits Soar as Scrutiny Intensifies
It has emerged that the estate, which owns the seabed around England, Wales, and Northern Ireland, recorded profits of £1.1 billion in each of the past two financial years. This marks a staggering increase of £658 million from the 2022-23 period. The surge is largely attributed to revenues from leasing sections of the seabed for wind farm development.
This financial windfall has prompted the Commons Public Accounts Committee (PAC) to announce a probe. The committee, chaired by Sir Geoffrey Clifton-Brown, is already examining the Crown Estate's property leases to Royal Family members, following controversy over the Duke of York's rent for Royal Lodge.
Sir Geoffrey confirmed to the Mail on Sunday: 'Given that wind farms are such an important part of the Crown Estate's income, the issue will inevitably feature when we do our inquiry.'
Greenpeace Calls for Royal Intervention
The environmental campaign group Greenpeace has directly called on King Charles to intervene. They accuse the Crown Estate of exploiting its monopoly position by charging excessive fees for seabed leases, costs they claim are ultimately passed on to consumers through higher energy bills.
Lily-Rose Ellis of Greenpeace UK stated: 'King Charles has been a lifelong champion of action on climate change – surely he would want the UK's seabeds, which he owns, to benefit the planet and people of this country, not treated as a cash machine for profits and bonuses.'
The group alleges that the estate removed a cap on 'option fees'—payments made by developers to reserve seabed rights—which has contributed significantly to the surging profits. Once operational, the Crown Estate also receives 2% of the revenue generated by the electricity from these wind farms.
Royal Funding and Public Good
The controversy touches directly on royal finances. Under the Sovereign Grant, the King receives 12% of the Crown Estate's profits to fund official duties. The recent boom has seen this annual grant rise from £86 million to £132 million.
Norman Baker, a former government minister, argued this link should be severed: 'Why should the King get 12 per cent of a massive sum that he has done nothing to contribute towards? All of the money from the Crown Estate should go to the Treasury.'
In a defence of its practices, a Crown Estate spokesman said: 'Option fees are not fixed by the Crown Estate. They are set... through open, competitive auctions and reflect market appetite. As our net revenue is returned to the Treasury, option fees help to ensure taxpayers benefit.'
The UK currently has over 2,800 offshore wind turbines with a capacity of 16 gigawatts. The Crown Estate's future plans could see thousands more built, aiming to power up to 20 million homes.
