The Duchy of Lancaster, King Charles's private estate, has made over £1 million from selling land for HS2-related road projects that will no longer be needed, despite claiming it does not rely on taxpayer money. The Guardian can reveal that the Duchy negotiated payments totalling £1,132,400 for land near Crewe, Cheshire, intended for infrastructure upgrades linked to the now-scrapped northern leg of HS2.
The Duchy, which has been controlled by reigning monarchs since medieval times, acquired the Crewe Hall estate in 1936. It is largely exempt from compulsory purchase laws and most business taxes, allowing it to maximise profits on land sales. The payments were made between 2012 and 2017, when the late Queen Elizabeth II controlled the estate. The King did not pay inheritance tax when he inherited the Duchy, and it remains exempt from corporation and capital gains tax.
HS2 was expected to bring 6.3 million extra passengers to Crewe by 2036 and boost the local economy by £750 million per year. In preparation, officials planned major road upgrades, including realigning the A500 and building a dual carriageway. The Department for Transport bought a slice of Duchy land for £318,000 in 2012, and Cheshire East Council paid £800,000 in 2014 for land to build a new road to Crewe station. Both projects were halted when the northern phase of HS2 was scrapped in 2023 due to spiralling costs.
The Duchy's profits have increased sharply in recent years, generating £26.5 million last year. The King voluntarily pays some income tax on this dividend but is not obliged to disclose how much. In July, the Duchy announced it would review its policies after criticism over deals with public bodies, including a £11.4 million agreement with an NHS trust.
