The Duchy Files: how bad is the scandal for King Charles?
Making millions in rent from the NHS and armed forces a 'PR disaster' for royal family
The King's Duchy of Lancaster estate makes £829,000 a year renting a warehouse to an NHS trust to keep ambulances.
That's just one of the findings from a joint investigation by The Sunday Times and Channel 4's "Dispatches" into how the monarchy's centuries-old property portfolios are used in lucrative contracts with public bodies and charities. The investigation also revealed how the royal duchies receive millions from the armed forces, schools, prisons and fire and ambulance services.
Adding to the royal family's woes, a separate investigation by The Mirror and "Dispatches" found "scores" of rental properties owned by Prince William as part of his Duchy of Cornwall estate are riddled with damp and mould and fail to meet the minimum legal energy efficiency standards for landlords.
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What did the commentators say?
The royal family making millions of pounds a year in rent from the NHS and the armed forces is a "PR disaster" that could have serious consequences for the future of the monarchy, said Libby Purves in The Times.
The 185,000 acres that make up the Duchies of Lancaster and Cornwall have over time become "cash cows", raking in more than £50 million a year for King Charles and Prince William. That neither pay capital gains or corporation tax is already contentious, but the "real embarrassment" lies in the detail of their tenants – covering some of the most venerated public institutions in Britain.
For the modern monarchy, "perception is everything, and underpinning its popular support is the expectation that the royal family use their position for the public good", said Craig Prescott, a lecturer at Royal Holloway, University of London, also in The Times.
"Any suspicion that the monarchy is pursuing its public functions for private gain would be incendiary", something senior royals are "acutely aware" of.
While the Crown's vast land holdings are "no secret," said Zoë Grünewald on the i news site, "the scale of profit and hypocrisy is striking". The public outrage is "unsurprising" especially at a time of "widespread sacrifice for citizens" and when Labour is raising taxes on corporations and wealthy individuals.
There's nothing unusual about the royals' tax affairs, Ben Goldsmith, a British financier and environmentalist, told The Telegraph. "The Duchies of Cornwall and Lancaster are private assets which generate an income for members of the royal family, on which they pay full tax," he said. "The royal family owns stuff, like many families in this country. And?"
While there is no question of impropriety, it's "not a good look" for the monarch and heir to the throne, said The Express, "especially not making money from mining activities in Cornwall" given their much-touted green credentials.
What next?
The King is "under growing pressure" to refund the cash-strapped NHS, said the Daily Mail. But the revelations have "raised fresh questions" over the royal family's wider tax arrangements, said The Telegraph.
Their tax exemptions are, in fact, "outdated and indefensible" said Grünewald. It is time for Labour to "harness the public's frustration" and build on the momentum of its "redefining budget and the appetite for change" by ensuring the monarchy pays its share of corporation and capital gains taxes.
This would "benefit the Crown as well". By taking a lead in supporting national unity and public services, "the royals could redefine their role in modern Britain".
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