Rachel Reeves is facing pressure to tear up the funding arrangement that will hand nearly £138 million of taxpayers' money to the Royal Family this year. The Chancellor has been urged to be "radical" ahead of showdown talks on future funding for the King, with ministers set to draw up legislation to cut the controversial Sovereign Grant, which has soared by nearly £50 million in three years to pay for Buckingham Palace repairs.
Baroness Margaret Hodge, the Government's anti-corruption champion, said the grant had "run out of time" and called for it to be reviewed so it reflects what is happening in the rest of Britain. She noted that during austerity, when public services were cut, the Royal Family received an ever-increasing grant. Former Labour minister Lord George Foulkes also demanded sweeping measures, pointing to the Queen travelling by helicopter to a race meeting in February as an example of the royals appearing out of touch.
Official figures show that in 2023/24, £41.2 million was spent on property maintenance and £4.7 million on travel, including £475,000 on 141 helicopter flights and £80,000 on a charter flight to Belfast. The grant also funded the salaries of 539 staff. The Treasury confirmed the amount is being looked at as part of a five-year review, with legislation to reset the grant to a lower level from 2027-28 once Buckingham Palace repairs are completed.
MPs are also set to probe the Crown Estate amid questions about Prince Andrew's use of Royal Lodge and whether other royals' property arrangements represent good value for taxpayers. The review comes at a difficult time for the King, who was jeered by anti-monarchy protesters during a visit to St Asaph Cathedral in North Wales.
Despite the criticism, public opinion remains broadly supportive. A YouGov poll in January found 51% of the public think the royals are good value for money, and 64% want the monarchy to continue.
