King Charles Reveals Tax Payment for 2024-25
King Charles has disclosed that he paid £12.9 million in tax for the fiscal year 2024-2025, becoming the first British monarch in modern times to reveal their tax bill. This amount places him among the top 100 taxpayers in the United Kingdom.
The Prince of Wales declared paying £7.76 million in tax over the same period, according to figures published in the annual royal report and accounts.
Residence and Funding Updates
It has also been announced that King Charles and Queen Camilla will continue to reside in Clarence House rather than moving into Buckingham Palace.
The accounts indicate that the Sovereign Grant, the primary funding source for the Royal Household, is projected to rise to just under £100 million for the year 2027-28.
Tax Payments of the Royal Family
The Prince of Wales paid £7.76 million in income and capital gains tax between 2024 and 2025. Additionally, the King paid £11.7 million in tax for 2023-24, while Prince William paid £8.34 million for the same period.
The decision by King Charles and Prince William to voluntarily publish their tax payments was made personally by both individuals, according to their offices.
Buckingham Palace described the move as increasing transparency and aimed to "encourage wider understanding of our accountability."
Since King Charles ascended the throne and Prince William became the Prince of Wales, their combined tax payments to HM Revenue and Customs have exceeded £50 million.
The published figures do not provide a detailed breakdown of how the tax amounts were calculated.
Sources of Income
The King receives an annual income from the Duchy of Lancaster estate, which was established to provide the monarch with an independent source of funds for official and private expenditures. This estate comprises land, investments, and properties, generating an annual income of £25.2 million for the year 2025-26.
Other taxable income sources include the King's personal investments and savings, as well as revenue from his private estates, Balmoral and Sandringham.
Prince William's Financial Transparency
Initially, Prince William did not disclose his tax payments upon becoming heir to the throne. However, in alignment with his father, he has now made public his income and capital gains tax payments.
Prince William receives income from the Duchy of Cornwall, a hereditary estate valued at approximately one billion pounds and covering 130,000 acres, which also includes the Oval cricket ground in London. This estate funds his official duties, office, and private family life.
"Prince William pays income tax at the highest rate on any net surplus after those costs have been met. Those costs are independently audited to ensure that any deductions are appropriate," said the prince's private secretary Ian Patrick.
"The prince recognises the interest in these arrangements and the importance of appropriate transparency."
The tax payable for 2025-26 is currently under audit and will be published next year. Neither the income nor details of private investments for King Charles or Prince William have been disclosed.
Prince William's Decision on Dartmoor Prison Rent
Prince William has announced that he will no longer personally benefit from the £1.5 million annual rent generated by the now-abandoned Dartmoor Prison. He has requested that this amount be removed from the Duchy of Cornwall's income and instead be allocated to support the local community, particularly the rural community of Princetown near the prison.
Dartmoor Prison has been empty since 2024 due to the discovery of high levels of radon gas within the building.
Royal Visits and Travel Costs
The annual royal accounts also reveal details of travel expenses:
- The most expensive overseas royal visit was Prince William's three-day trip to Saudi Arabia in February 2025, costing just over £130,000.
- This was followed closely by the King and Queen's four-day state visit to Italy in April 2025, which incurred travel costs of £126,946.
- The King's royal train journey to Lancaster in June 2025 cost £48,460. The royal train is scheduled to be retired by 2027 to reduce expenses.
- The Royal Family undertook 177 helicopter journeys over the past year, costing £733,063.
Sovereign Grant and Royal Household Funding
Under a new formula for calculating the Sovereign Grant, the Royal Household will receive £99.9 million annually from 2027-28. This is a significant increase from £51.8 million three years ago.
The grant covers expenses such as staff salaries, building maintenance, and travel for official engagements.
The increase was determined by Royal Trustees, including Prime Minister Sir Keir Starmer, Chancellor Rachel Reeves, and the King's Keeper of the Privy Purse and Treasurer James Chalmers.
The additional funds will be allocated to the upkeep of historic buildings, enhancement of cybersecurity at royal residences, and support for the transition to green energy, with £11 million earmarked for boiler replacements at Windsor Castle.
Chalmers insisted the funding was "not a blank cheque" and there were strict checks to ensure the grant was value for money.
"Expenditure is governed by the same standards and disciplines as any publicly funded body, with strict value-for-money requirements, detailed planning, multi-year strategies, independent audit, and Treasury oversight," he said.
For the past decade, the Sovereign Grant has been higher than its core amount to cover the major refurbishment of Buckingham Palace, which is expected to be completed by the end of 2027.
With the refurbishment completed, the annual grant will decrease from £137.9 million to the core funding level of £99.9 million, which will remain unchanged for five years until the next review. This figure is still significantly higher than in previous years.
"It is important to emphasise that the Sovereign Grant does not provide personal income to members of the Royal Family," Chalmers said. "It funds the work of the institution – not private lives or private wealth."
Residence Decision for King and Queen
The King and Queen Camilla will continue to reside in Clarence House, where they have been based since 2005. This decision was made to allow greater public access to Buckingham Palace, officials stated.
Refurbishments on Buckingham Palace, totaling just under £370 million, are scheduled for completion in March 2026.
It is anticipated that this will enable the palace to generate increased income.
This will mark the first time since Queen Victoria's reign that a monarch has chosen to reside outside Buckingham Palace.
