Royal estates ‘to make millions from NHS, armed forces and state school rents’

The King and the Prince of Wales‘Private estates have signed leases worth millions of pounds with the armed forcesthe NHS and government schools, it has been reported.

An investigation by Channel 4 Dispatches and the Sunday Times surveyed the lands and properties held by the two leading monarchs through the Duchies of Lancaster and Cornwall.

The investigation reveals that the Duchy of Lancaster struck a deal last year to store a new fleet of electric ambulances, owned by Guy’s and St Thomas’ NHS trust in Londonin one of the estate’s warehouses at a cost of £11.4 million over 15 years.

It also said the Duchy of Cornwall had charged the navy more than £1 million since 2004 for building and using jetties and mooring warships on the Cornish coast.

The Duchy will also earn around £600,000 over the life of six different leases agreed with local state schools, the study found.

The Duchy of Lancaster encompasses a portfolio of land, property and assets England And Wales under management of the Sovereign, including significant urban developments, historic buildings, prime agricultural land and areas of great natural beauty, dating back to the 14th century.

The Duchy of Cornwall is a similar portfolio worth more than £1 billion, providing an income for the heir to the throne.

Both estates are exempt from paying corporate tax or Capital gains Tax.

Further claims from the Duchy of Cornwall include that it has signed a £37 million deal to lease Dartmoor Prison to the Ministry of Justice and a deal with the Ministry of Defense to enable the armed forces to train on Dartmoor land.

Last year the king asked for profits from a £1 billion a year contract with the Crown Estate wind farm to be used for the ‘wider public good’ rather than as a funding boost for the monarchy.

But the inquiry also found that Charles would still make at least £28m from wind farms due to a feudal right to charge for cables crossing land belonging to the Duchy of Lancaster.

There are even more claims from the research, in collaboration with the Mirror newspaper, that private homes rented out by both duchies do not meet minimum energy efficiency requirements.

Around 14% of homes let by the Duchy of Cornwall and 13% by the Duchy of Lancaster have a performance rating of F or G, despite it being against the law for landlords to let properties rated lower than an E since 2020, according to according to the research. .

Charles’s annual income from the Duchy of Lancaster rose 5% to £27.4 million in 2023/24, according to reports published by the estate in July.

William received an annual private income of more than £23.6 million from the Duchy of Cornwall last year, accounts show.

The revenues of both duchies are separate from the taxpayer-funded Sovereign Grant, which pays for the monarch’s official duties.

Duchy of Lancaster

Neither the king nor the Prince of Wales are legally required to pay income tax, but both have offered to do so.

Responding to the claims, a spokesperson for the Duchy of Lancaster said: “The Duchy of Lancaster operates as a commercial company and manages a wide range of land and property assets across England and Wales. It complies with all relevant UK legislation and regulatory standards applicable to its range of business activities.

“The Chancellor of the Duchy of Lancaster is responsible to the Sovereign for the administration of the Duchy. However, he delegates certain functions, especially those in the field of asset management, to the Duchy Council.

“While His Majesty the King takes a keen interest in the work of the Duchy, the day-to-day management of the portfolio is the responsibility of the Council and the executive team.

“The Duchy has made a number of significant environmental improvements in recent years, significantly increasing the number of A+, A and B EPC ratings awarded to our properties as a result of renovation or restoration work.

“Currently, more than 87% of all rental properties in the Duchy are rated E or above. The remainder are awaiting planned improvement works or are exempt under UK law.”

A spokesperson for the Duchy of Cornwall said William was committed to “a comprehensive transformation” of the estate.

They said in a statement: “The Duchy of Cornwall is a private estate with a commercial need that we achieve alongside our commitment to restoring the natural environment and generating a positive social impact for our communities.

“Prince William became Duke of Cornwall in September 2022 and has since committed to a comprehensive transformation of the Duchy.

“This includes a significant investment to make the estate net zero by the end of 2032, as well as establishing targeted mental health services for our tenants and working with local partners to help tackle homelessness in Cornwall.”

Buckingham Palace declined to comment.