British govt controls royal's cash

2010-09-23 19:31
London – Queen Elizabeth II has been forced to give up the ultimate control of her finances to the British government under a deal agreed in 2006 and kept secret until now, reports said on Thursday.

The revelation came in hundreds of letters obtained by a British newspaper after a four-year freedom-of-information battle and has already provoked calls for greater scrutiny of the royal finances.

The financial memorandum gives the government an effective veto over how the monarch spends a £38.2m yearly allowance granted by parliament to pay for her palaces and staff.

The deal, quoted in The Independent newspaper, stipulates that in the event of “irreconcilable difference” the government can stop payments and takes over the financial management of the palaces itself.

The deal came after years of disagreement over the royal budget, with the queen's office citing the difficulties of maintaining Buckingham Palace in London, Windsor Castle west of the capital and other historic buildings.

The pact, agreed between the queen and the previous Labour administration which lost power in May, became public under Britain's freedom of information laws following a four-year campaign by the newspaper.

Appeals for financial help

Hundreds of letters between the queen and her government obtained by the daily show the royal family's appeals for financial help.

After one exchange the government gave the queen £2m to help "cash-flow problems".

Buckingham Palace was not immediately available for comment.

Besides the budget for the palaces, the government is also responsible for setting the size of the so-called "civil list", covering the expenses of Queen Elizabeth and her husband, Prince Philip.

The list was set in 1990 at £7.9m per year, and so has effectively dropped in value over the last 20 years by 76% due to inflation.

In a deal struck under king George III in 1760, the list is paid in return for the profits from the Crown Estate, the sovereign's property portfolio. The surplus was £210.7m for the year ending March 2010.

Republic, a campaign group calling for the abolition of the monarchy, said the figures again proved the need for a "full public review of royal finances".

"The British taxpayer is not the personal piggy-bank of the Windsor family.

“We must be told whenever they dip their hands into our pockets," spokesperson Graham Smith said.
Read more on:    queen elizabeth ii  |  uk
NEXT ON NEWS24X
SHARE:

Read News24’s Comments Policy

 

Inside News24

 
/Beauty
 

This is what South Africans Googled in 2014!

Find out who and what South Africans were most curious about in 2014!

 
 

I love summer.24

This hilarious song is your new holiday anthem
The world's least visited destination is breathtaking!
LOL treadmill fail!
Google’s top searches of 2014

Jobs in Cape Town [change area]

Property [change area]

Travel - Look, Book, Go!

Kalahari.com - shop online today

2DAYS ONLY – 30% off Appliances

Coffee makers, blenders, fans, juicers and more. T&Cs apply. Shop now!

2 DAYS ONLY – 40% off books

Get 40% off when you buy 2 books. For two days only! T&Cs apply. Buy now!

Up to 50% off on outdoor gear

Save on chairs, blankets, cooler bags, umbrellas and more. Shop now!

Save on Samsung

Cameras, mobile phones, TVs, Tablets and more. While stocks last. Shop now!

Grand Theft Auto 5

Now available on PS4, Xbox One and PC from R649. Buy now!

OLX Free Classifieds [change area]

Samsung Galaxy s4

Mobile, Cell Phones in South Africa, Western Cape, Cape Town. Date October 24

Best bargain in big bay

Real Estate, Houses - Apartments for Sale in South Africa, Western Cape, Cape Town. Date October 25

VW Golf 6, 1.6 Trendline (Excellent condition)

Vehicles, Cars in South Africa, Western Cape, Cape Town. Date October 25

Horoscopes
Aquarius
Aquarius

You may be emotionally defensive or reserved today. You need to step up today as there may be extra responsibilities to deal with....read more

There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.








Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.