The Surprising Ways The Royal Family Actually Makes Their Money

It should be no surprise to anyone that the British Royal Family has a lot of money. One look at the places they live and the way they live their lives makes that very clear. How exactly has the monarchy come to generate so much income, though?

It seems there are various ways the Royal Family makes money, from government payments to leasing land to wind farms. It's worth noting, though, that a person's position in the monarchy can influence the way in which someone makes money. That's why some family members are richer than others.

The Royal Family owns tons of properties, which are worth billions

If you're part of the Royal Family, the chances are that you live in a pretty nice house. That's because the monarchy owns tons of properties and businesses that boost their wealth quite significantly. As of 2022, the Guardian states that this portfolio could be worth as much as £15.6 billion (around $17.79 billion).

Buckingham Palace alone makes up quite a significant portion of this wealth, with 2022 estimates putting it at around $4.9 billion. As the most famous of all the residences in the Royal Family's possession, it makes sense that it would be worth so much. What about all the other properties they use as homes or vacation spots, though?

Some royal properties can be sold while others can't

There are dozens of properties in the monarchy's possession, but not all of them are the same. While some are owned under the crown estate, others are private residences. The difference is that the former can never be sold to increase someone's liquid assets. These places tend to be more valuable than those privately owned by members of the monarchy.

Some of the properties that fall under the crown estate's ownership include Windsor Castle, Kensington Palace, Hillsborough Castle, Clarence House, St. James' Palace, and Bagshot Park. Those that are privately owned by the Royal Family include Balmoral Castle, Sandringham House, Highgrove House, Anmer Hall, Gatcombe Park, and Delnadamph Lodge. Any of these properties can be sold if necessary.

The Royal Family makes money by receiving a percentage of their profits

When wanting to know how the Royal Family makes money, you have to be aware of the role that the government plays. As it stands, the monarchy receives a yearly grant from the British government known as the Sovereign Grant. This money is used to help pay for things like travel expenses and renovation costs over the next year.

The amount the Royal Family receives is reportedly worked out as a percentage of their profits. All of the monarchy's profits are apparently given to the treasurer, who then pays the monarch back with a set percentage. Typically, this would be 15%, although that hasn't been the case in recent years, nor will it be for several years to come.

The Sovereign Grant is apparently a percentage of profits from two years earlier

Although the monarchy's profits reportedly go to the treasurer every year, that doesn't mean the money they receive back is a percentage of their recent earnings. That's because it's calculated in two years' arrears, meaning what they receive is a slice of their profits from two years ago. So, right now, they're living off of a percentage of 2020's profits.

According to the Institute for Government, the Sovereign Grant for the 2020/21 period was £86 million (roughly $97.96 million). Several years earlier, during the 2017/18 period, the grant was lower at £76.1 million (around $86.7 million). That was quite a jump from one year earlier when it was £42.8 million (roughly $48.8 million).

The Royal Family currently makes more money to help cover Buckingham Palace refurbishment costs

The reason the monarchy's money has increased quite significantly since 2016 isn't simply a matter of inflation or increased profits. In 2017, the Royal Family's pay was apparently increased from 15% to 25% to help cover the cost of renovating Buckingham Palace. This change is supposedly meant to be in place for a decade, meaning it should last until 2027.

The refurbishment project will apparently cost around £369 million (approximately $420 million) and has seen rooms stripped of flooring and furniture removed. Given that the palace is home to a ton of costly artworks and artifacts, emptying these rooms alone was apparently an expensive undertaking. We can't imagine what the insurance cost would be like if something went wrong.

The Sovereign Grant replaced a different payment system in 2012

The Sovereign Grant is one of the best ways that the Royal Family makes money, at least for those higher up in the line of succession. However, it didn't always exist. Well, not in this current form, anyway. It's actually only been in place for a decade, with 2012 introducing a change to the monarch's original system of funding.

It used to be that the monarch would receive the Civil List, along with three Grants-in-aid. The Civil List was intended to cover the expenses of the monarch's household, while the grants were there to pay for things like travel, communication and information, and maintaining the royal palaces. This arrangement was apparently reign-specific, whereas the Sovereign Grant is permanent.

A review of the Sovereign Grant could affect how much money the monarchy receives

With the monarchy seemingly receiving more money than ever, it's safe to say they're doing alright for themselves. There are probably a lot of people who aren't overjoyed about that, though, what with all the talk of a cost of living crisis in the UK. Those people would probably be interested to know that things may soon change.

That's because a review of the Sovereign Grant is apparently underway and expected to take effect in April 2023. The purpose of this review is to ensure that the royal money is funded at "appropriate" levels, so the monarchy isn't paid more than it should by the government. It's apparently in response to an expected boom in profits.

A "golden ratchet" clause currently prevents the monarchy from being paid less money

If this review finds that how the Royal Family makes money is currently too favorable, a reduction might be necessary. However, this apparently won't be as simple as you might expect. That's because there's reportedly a "golden ratchet" clause in their arrangements that prevents this from happening. According to this, the money can only ever stay the same or increase.

A change in the law would be necessary to counteract this and reduce the amount that the monarchy is paid in 2023. If this change was made, it would mean that the initial plans to pay the Royal Family 25% instead of 15% for ten years would be cut short. However, this wouldn't hinder the renovation plans.

The Privy Purse is a private income largely funded by the Duchy of Lancaster

When it comes to how the Royal Family makes money, the Sovereign Grant plays a significant role. However, this isn't the only thing that the monarchy relies on. There's also the Privy Purse, which is a form of private income for the monarch. In 2018, this amounted to a net income of £20.1 million (roughly $22.86 million).

The money in the Privy Purse reportedly comes mostly from the Duchy of Lancaster, a private estate founded in 1351. It consists of nearly 46,000 acres of land and various holdings, and it was valued at £652.8 million (around $741.5 million) in March 2022. The monarch receives the net income of the Duchy of Lancaster every year.

The Duchy of Lancaster wasn't always the most lucrative form of private income

Private incomes like these are how the Royal Family makes money without needing to worry about the state of the government. While losing the Sovereign Grant would hit the monarchy incredibly hard, they wouldn't be left with nothing. Of course, the Privy Purse and other forms of private income haven't always been exceptionally lucrative for the Royals.

When Queen Elizabeth II took to the throne in 1952, the revenue she received from the Duchy of Lancaster was apparently around £100,000. Today, that's the equivalent of roughly £1.1 million (around $1.25 million). While that's still a lot of money for many people, it's significantly less than what King Charles III will now make from it.

The Duchy of Lancaster also entitles the monarch to gold, silver and various minerals

There's seemingly more to the Privy Purse than just the net income of the Duchy of Lancaster. Apparently, the monarch also has ownership of an "extensive mineral portfolio" which ranges from the south of Wales to the north of Yorkshire. Things like coal, limestone, slate, and sandstone are apparently all considered royal rocks and minerals.

Along with these, the monarchy apparently owns most of the UK's "naturally occurring gold and silver." If the King wished to mine for this stuff somewhere within the Duchy of Lancaster's 46,000 acres, he'd apparently have the right to do so. That's regardless of whether anyone was living there. Hopefully, though, something like this won't happen.

There are apparently several administrators of the Privy Purse

For the Privy Purse to be handled efficiently, there needs to be people working behind the scenes. There are apparently several administrators who ensure that the monarch gets their money every year and that it's all done above board. These are the Chancellor of the Duchy of Lancaster, the Keeper of the Privy Purse, and the Treasurer to the King.

The first of these is a position held by Nadhim Zahawi in 2022. He's effectively the chairman of the trustees. The other two are apparently both filled by Sir Michael Stevens. His roles are apparently to look after the monarch's personal financial affairs and deal with the Sovereign Grant payments that help to fund the Royal Family.

The Royal Family makes money by leasing seabed properties to wind farms

Being an island, the UK isn't short of coastline. However, did you know that the monarchy reportedly owns a significant portion of this? Having ownership of such land has proven quite beneficial to the Royal Family, especially for one reason in particular. It seems they've been able to lease out seabed properties to offshore wind farms.

Growing demands for renewable energy sources have meant that the Royals haven't struggled to make a profit out of this. In 2016 alone, the monarchy apparently generated a £22.9 million (roughly $26 million) profit through wind farm dealings. You might not have expected that this would be how the Royal Family makes money, but it's seemingly a smart venture.

The monarchy could make hundreds of millions out of these wind farms

It seems that leasing seabed properties to offshore wind farms is proving so lucrative that people are now concerned the monarchy is making too much money. It's apparently this venture that prompted the review of the Sovereign Grant. According to a Whitehall source, estimates suggest they could start pulling in several hundred million pounds from wind farm projects.

With changes to the climate pushing more people to seek out renewable energy sources, it makes sense that an increase in profits is likely. What's more, there's a good chance that the demand for things like this will only increase with time as more try to do right by the planet. So, the monarchy won't need to worry about money.

The Royal Family's control of the coastline could be hindering conservation efforts

Given that this is one of the most lucrative ways that the Royal Family makes money, these wind farms are probably quite important to them. Unfortunately, it seems that the monarchy might be a little too focused on money when it comes to the UK coastline. That's what Richard Unsworth, a marine ecology professor, seems to believe anyway.

His plan to plant seagrass and help with UK marine restoration efforts was apparently halted by a paywall. He was surprised that the Crown Estate wanted money to embark on this project, with the lease for a five-acre test site costing £2,500 (around $2,835) alone. Most of the funding for the restoration work is now coming from donations.

Other coastal projects and developments also bring the monarchy plenty of money

Leasing out the seabed to these wind farms is evidently one of the most lucrative ways that the Royal Family makes money. However, that doesn't mean it's the only way that the monarchy generates income from owning so much of the coastline. There are other ways they use this ownership to their advantage, from ports to seaweed cultivation.

Aquaculture facilities, harbors, leisure boating, and several marinas apparently all feature in the monarchy's coastal portfolio. What's more, things like wildfowling and marine research also bring in money, ensuring that this coastal ownership is an asset. In 2017, these various efforts reportedly brought an extra £49.1 million (roughly $55.65 million) to the family's bank account.

The monarchy reportedly owns a significant portion of properties in London

The Royal Family owns properties across the UK. However, if there's one place that people tend to associate with the monarchy, it's London. This is where places like Buckingham Palace and Kensington Palace reside, although these aren't the only parts of the city the Royals have control over. It seems they actually own quite a bit of London.

Apparently, more than half of their property portfolio is based in Central London because they own nearly all of Regent Street. This is where a great deal of high-end retail stores are located. What's more, almost half of the buildings in St. James' belong to the monarchy, too. This is reportedly where many bureaucrats spend a lot of time.

Some of the monarchy's money has come from breeding and racing horses

Certain animals in the UK are considered property of the monarchy. These include whales, dolphins, and unmarked swans. One animal that the Royal Family doesn't have ownership over is horses. However, that doesn't mean these aren't tied to how the Royal Family makes money. It seems breeding and racing these animals has proven quite lucrative over the years.

Between 1988 and 2022, the Queen reportedly won £8.7 million (around $9.9 million) by entering her horses in races. She apparently had a win percentage of 16.4%, with 2021 actually being her most successful year. The monarch's success resulted in her being inducted into the British Racing Hall of Fame the same year.

Investing is apparently one of the ways the Royal Family makes money

If you ever come into a lot of money, investing some of it can be a wise idea. After all, this provides the opportunity for you to make more money without having to do anything. Sure, it can be a risky move, but when it works out, it can make quite a difference. Just look at the monarchy.

You might not think this would be one of the ways the Royal Family makes money. However, during her lifetime, Queen Elizabeth II reportedly made many smart investments. As a result, she had a portfolio allegedly worth around £110 million (roughly $125 million) back in 2015. According to the BBC, most of her shares were in “blue chip British companies.”

A bad investment in 2000 left a small mark on Queen Elizabeth II's finances

Of course, when you invest a lot of money into various companies, you're bound to encounter trouble here and there. That's reportedly what happened with Queen Elizabeth II, who failed to put her money in the right business around the turn of the century. It seems her reported $154,000 faith in getmapping.com was somewhat misguided.

According to Forbes, the year after the monarch made this investment, the company's valuation dropped to just $16,000. It was suddenly worth almost a tenth of what she'd put in, which was far from what she wanted. Luckily, being the head of the monarchy, this one bad decision didn't lead the Queen to financial ruin.

Queen Elizabeth II reportedly made several other questionable investments during her lifetime

This isn't the only time that Queen Elizabeth II's investments raised a few eyebrows. In 2017, leaked documents revealed that £10 million (around $11.34 million) of her private funds were invested in offshore accounts. Some of that money reportedly ended up in the company behind BrightHouse, which has previously been accused of irresponsible lending.

The Queen's decisions in how to invest her money will likely have been influenced by her advisors. So, that raises questions regarding why they believed that putting money in offshore accounts and later benefitting some questionable companies was a good idea. Fortunately, it didn't have too much of an impact on the monarch's reputation with her people.

The crown jewels are a priceless addition to the monarchy's wealth

Whenever Queen Elizabeth II appeared somewhere, you could always rely on her to wear jewelry. This ranged from brooches and earrings to necklaces and tiaras. The cost of these varied, with some allegedly worth millions. Nothing was more valuable than the crown jewels, though. According to the Historic Royal Palaces website, these artifacts are priceless.

Protected in the Tower of London, the collection includes things like the Imperial State Crown and the Sovereign's Orb. Ownership of these items is one of the perks of being in the monarchy and contributes to the Royal Family's wealth. Even if they could make billions off them, though, selling these items would never be an option.

The Royal Family could reportedly make millions off of the jewelry they wear

Of course, while the crown jewels might not be up for sale, there's more freedom with other pieces in the royal collection. After all, there are plenty of women in the monarchy, and most of them love to showcase all sorts of accessories, each of which is pretty valuable. Tiaras are a good example of this.

For her wedding, Princess Eugenie wore the Greville Emerald Kokoshnik tiara allegedly worth between $5 and $10 million. Years earlier, in 2005, Camilla was spotted in the Delhi Durbar tiara, supposedly valued at $2 million. While the Royals wouldn't necessarily sell these because of sentimental value or other reasons, there's no denying how much they could make from them.

The Royal Philatelic Collection is a valuable stamp collection that Queen Elizabeth II inherited

Of all the things to be worth significant value in the monarchy, you might not think a stamp collection would be high on the list. However, when King George VI passed away, Queen Elizabeth II inherited the Royal Philatelic Collection - easily one of the most valuable stamp collections in the world. Its value is currently unknown.

According to estimates, the collection could be worth as much as £100 million (roughly $113 million). The specifics are unclear because it's never been fully inventoried or priced, which is why some estimates are much lower at £10 million (around $11.34 million). Regardless, it's home to at least one stamp worth several million alone: the Mauritius Blue.

King Charles III has apparently made millions by selling his paintings

For most of his life, Charles III has been preparing for the day when he'd finally become king. However, he hasn't spent every moment of the last 73 years counting down the days. One of the other ways he's apparently kept busy over the years is by painting, with this providing a reasonable income over the last few decades.

Between 1992 and 2016, Charles apparently made £2 million ($2.26 million) from his artwork. Although this might be one of the ways the Royal Family makes money, the cash hasn't all gone into Charles III's pockets. Instead, it's gone into the Prince of Wales' Charitable Fund, which annually awards money to various charitable causes around the UK.

King Charles III didn't have to pay inheritance tax when his mother passed away

September 2022 was a difficult time for those passionate about the Royal Family. On September 8, 2022, Queen Elizabeth II passed away after over 70 years on the throne. King Charles III inherited a lot from his mother upon her loss, but one thing he didn't have to deal with was inheritance tax. This was thanks to a 1993 agreement.

The agreement made by former UK prime minister John Major three decades ago means that any inheritance that passes from one monarch to another isn't subject to the usual 40% levy. This is typically what's applied to any assets valued at more than £325,000 (around $368,000), with the monarchy's assets well into the billions.

King Charles III will pay income tax, just like his mother did

Just because King Charles III doesn't have to pay inheritance tax, that doesn't mean he's steering clear of any financial responsibilities. Much like his mother, he's reportedly electing to pay income tax as a monarch, even though there's no requirement for him to do so. He isn't legally liable to pay it, just like with capital gains tax.

Although Queen Elizabeth II didn't pay income tax her whole reign, she did start contributing in 1993. This was apparently in response to the cost of the monarchy in the 1990s and concerns over who would pay to repair Windsor Castle following a fire. Given all the ways the Royal Family makes money, they can seemingly afford such a tax.

The coronation of King Charles III will reportedly be less expensive than expected

Plenty of people would probably love to get in on the action regarding how the Royal Family makes money. After all, there are many people struggling to make ends meet right now, especially in the UK. Given the financial crisis plaguing the nation, King Charles III has reportedly elected to tone down his coronation to keep it more affordable.

He apparently wishes to show that he's a monarch of the people, so he wants it to be "shorter, smaller, and less expensive." With the monarchy not as popular as it used to be, it's a move that may well benefit him in the long run. Plus, it'll help if the Sovereign Grant does get reduced in 2023.

The Prince of Wales primarily receives money through the Duchy of Cornwall

Now that King Charles III is a monarch, he'll make his money in the same way as his mother did previously. It'll be slightly different from how things were when he was the Prince of Wales. That's because the lucrative ways the Royal Family makes money vary depending on how close a person is to the throne.

Some of the Sovereign Grant is used to fund the activities of the Prince of Wales - which is now Prince William. However, most of the money the person in this position uses comes from the Duchy of Cornwall. Similar to the Duchy of Lancaster, it comprises many acres of land through which the Prince of Wales makes an income.

The Duchy of Cornwall covers plenty of farmland and some unexpected properties

The Duchy of Cornwall has been around since 1337 and reportedly features 135,000 acres of land, almost three times more than the Duchy of Lancaster. The land covers over 20 counties in the UK, with much of the land being used for agriculture. However, land within the Duchy of Cornwall also includes homes, forests, coastline, and other commercial properties.

Dartmoor prison and a third of Dartmoor national park also apparently fall under the jurisdiction of the duchy, as does Central London's Oval cricket ground. In March 2022, the net assets of the Duchy of Cornwall were apparently valued at £1 billion (roughly $1.13 billion), primarily from investment property assets. It looks like Prince William's gained a nice inheritance.

The Duchy of Cornwall formed a significant portion of William and Harry's income

While the Duchy of Cornwall might be the Prince of Wales' source of income, that doesn't mean he's the only one who benefits from it. It seems that when King Charles III was heir to the throne, this was a good example of how the Royal Family makes money. That's because he gave plenty of it to his sons.

Before stepping away from royal duties in 2020, Prince Harry and Meghan Markle's income almost came exclusively from the Duchy of Cornwall. According to the BBC, it formed 95% of their income and paid for their various public duties, along with some private costs. Prince William and Kate Middleton took similar advantage of it and had done for many years.

Prince William will have to decide if he wants to pay tax on the duchy

Now that Prince William is the heir to the throne, he's become the new Prince of Wales and will receive an annual income from the Duchy of Cornwall. Much like his father, we imagine that William will use some of this money to help his three children follow in his footsteps. Will he do everything that his dad did, though?

Before King Charles III was volunteering to pay taxes as a monarch, he was doing it as the Prince of Wales. He apparently paid 45% of the duchy's earnings after the deduction of official expenditure. As this was voluntary, there's currently no demand for Prince William to do the same. However, choosing not to pay taxes could hurt his reputation.

William and Harry both received a sizable inheritance from their late mother

While the Duchy of Cornwall has definitely made a big difference to William and Harry's lives, they haven't relied solely on this for income. Another of the ways the Royal Family makes money is through inheritance. The boys tragically lost their mother back in 1997, but thanks to her fame and a hefty divorce settlement, Diana left a lot behind.

For instance, when William turned 30, he reportedly received £10 million (roughly $11.34 million) that belonged to Princess Diana. It was apparently the same situation with Harry. What's more, they also received various personal items, including clothes, jewelry, and diamonds. These belongings were all worth a small fortune, but neither son would ever want to sell them.

Military service reportedly earned Harry and William additional income

Growing up, William and Harry were both expected to partake in military service once they were old enough. This was a tradition for the men in the Royal Family, so saying no didn't seem to be much of an option. Luckily, the pair received more than just military experience and a new outlook on life from doing this service.

It seems that another of the lucrative ways the Royal Family makes money is through military service, as both men received generous paychecks. While working as a helicopter pilot, William was allegedly paid between $68,000 and $74,000. Meanwhile, Fortune claims that Harry received an annual salary of roughly $45,000 as an officer in the Army Air Corps.

Beatrice and Eugenie reportedly have a trust fund from when their parents divorced

The Duchy of Cornwall only extends to the Prince of Wales and his children. So, once you move past Prince Harry on the line of succession, it becomes less clear how the Royal Family makes money. After all, Princess Beatrice and Princess Eugenie, who are currently 9th and 11th, respectively, aren't working Royals in the monarchy.

Although these women don't receive any money from the Sovereign Grant or the two duchies, they're still pretty well off. It helps that they have a trust fund, which reportedly grew out of their parent's divorce. £1.4 million (roughly $1.59 million) from the divorce settlement allegedly went into a fund for the sisters.

The sisters also receive salaries from jobs outside of the monarchy

This isn't the only trust fund that was made in the pair's names. The Queen Mother also apparently split a lot of her money between her great-grandchildren, although it's unclear how much this amounted to for Beatrice and Eugenie. Luckily, the sisters have other ways to earn an income, so they don't always need to rely on royal money.

Beatrice's jobs have included working at Sony Picturesnd being the Vice President of Strategic Partnerships at Afiniti. As for Eugenie, she's previously worked at an online auction firm before moving on to be a director at Hauser & Wirth, a London art gallery. The wages from these jobs have helped the pair avoid any money worries.

The Queen's youngest three children apparently received money from the Duchy of Lancaster

Being Queen Elizabeth II's firstborn son, Prince Charles had the good fortune of being heir to the throne while she was still alive. The rest of her children weren't so lucky, aware that as time went on, they'd gradually be pushed further down the line of succession. However, this doesn't mean they were at a complete disadvantage.

As the Queen's children, they were expected to do a lot of work for the monarchy. As a result, they received money from the monarchy, primarily through the Duchy of Lancaster. Although they had other money-making ventures, such as Prince Edward's production company, working for their mom apparently proved to be quite lucrative for Charles' three siblings.

Princess Anne keeps Gatcombe Park running by treating it as a business

The Queen's children have all made a name for themselves over the years, some better than others. Princess Anne typically has one of the better reputations, given she's usually considered the hardest working royal. She typically does more royal engagements than anyone else in the monarchy, which presumably earns her a decent salary. However, this isn't her only income.

Apparently, another of the ways the Royal Family makes money is by turning their homes into businesses. Anne lives at Gatcombe Park, which operates as a working farm with livestock, horse breeding, and regular events. The royal has lived there since 1976 and reportedly relies on income from the property to keep it running rather than from the monarchy.

Zara Tindall reportedly makes a lot of money through sponsorship deals

Princess Anne reportedly isn't the only royal to live on the grounds of Gatcombe Park. Her children reportedly have homes there, too, including Zara Tindall. Zara is probably best known for her work with horses, with the royal winning a silver medal in Team Eventing at the 2012 Olympics. This has helped her amass a ton of sponsorships.

According to Now To Love, she supposedly makes around $2 million a year through endorsements for things like Rolex, Land Rover, Musto, and more. While sponsorship deals typically wouldn't be one of the permitted ways the Royal Family makes money, being lower in the line of succession means that Zara can get away with it.

Lady Amelia Windsor makes money through modeling and sponsored social media posts

Lady Amelia Windsor, whose grandfather was Queen Elizabeth II's first cousin, is another royal who's managed to make money through sponsorships. In 2018, there was a slight controversy after she posted a picture on social media that was a "paid partnership with Michael Kors." However, because she's so low in the line of succession, she hadn't actually done anything wrong.

Lady Amelia doesn't have an official role in the monarchy, nor does she receive any taxpayer-funded privileges. So, a sponsored post here and there isn't a big deal. Luckily, she has other ways to make money if it were a problem. For instance, her blossoming modeling career, which has seen Amelia work for the likes of Chanel and BVLGARI.

Everyone in the Royal Family works, but they're not all paid a traditional salary

The assumption that the Royals sit around and do nothing all day is a great misconception. In 2019, the Royal Family attended a combined 3,567 engagements throughout the year, with Charles and Anne both attending over 500 events each. During his lifetime, Prince Philip apparently gave over 5,400 speeches while working for the monarchy.

So, everyone in the monarchy works. However, when it comes to how the Royal Family makes money, there's a difference between those who work for the monarchy and those who work for other companies. The difference is that the former don't generate an income like the latter; they simply receive money from the Sovereign Grant to cover certain costs.

The monarchy reportedly spends millions on traveling every year

Not being paid like a traditional job for monarchy work affects how the Royal Family makes money. However, it also influences how the Royal Family spends money too. Those 500 plus engagements that people like Charles and Anne can do in a year aren't all conducted in one place. They require tons of travel, both in and outside the UK.

Apparently, £4.5 million (roughly $5.11 million) went towards travel for the Royal Family during the 2021/22 financial year. This was reportedly an increase of 41% from the previous financial year. These are the kind of costs that the Sovereign Grant is there to cover, rather than going into the pockets of those doing the traveling.

Various members of staff also cost the monarchy millions every year

Traveling isn't the only major expense that the Royal Family has to worry about. There's also the matter of staff as well. You can't live in places like Buckingham Palace, which apparently has 775 rooms, without a staff to maintain the place. From cooking to cleaning to planning, there are all sorts of daily tasks that require extra help.

In 2021, there were apparently 508 full-time employees. Add in volunteers, those working in part-time positions, or other roles, and you've got a lot of people helping out the Royal Family. According to the Sovereign Grant Report, £44.1 million (around $50 million) went towards staff and household operations during the last financial year alone.

It costs thousands to send each of William and Kate's children to school

Most parents will know just how expensive it can be to raise a child. There are all sorts of expenses you have to worry about, including food, clothes, and bills. The Royal Family never has to worry about such costs, though, given they can afford to send their kids to some pretty expensive schools in and around London.

Following William and Kate's move to Windsor, it was revealed that their three children were being enrolled at Lambrook School, where admission fees reach £6,999 (around $7,946) for the oldest students. This isn't that dissimilar from how much the couple was apparently paying for their children to attend Thomas' Battersea back in London.

Giving birth in the Lindo Wing was allegedly thousands of pounds per child

It seems that William and Kate's children have been costing them a lot of money ever since they came into this world. All three of the kids were born in the Lindo Wing at St. Mary's Hospital, the same place where William and Harry were born many years ago. Unfortunately, this isn't the most affordable hospital wing around.

Suites here can apparently cost up to £10,000 (roughly $11,359) a night, meaning having three children there must have been pretty pricey. Luckily, mothers allegedly receive a 10% discount on repeat visits, so at least William and Kate didn't have to pay the full amount every time. Not that this would have been much of an issue anyway.

Christmas is apparently a time when the Royal Family keeps things affordable

While it might seem like the Royal Family throws around money like it means nothing, that isn't actually the case. There are plenty of occasions where they actually keep the spending low, like during the festive season. It's apparently a common tradition for the Royal Family to buy each other gifts that are very much on the affordable side.

For instance, Kate reportedly once gave Queen Elizabeth II homemade chutney using a recipe from her own grandmother. She also allegedly gifted Prince Harry a 'grow your own girlfriend' kit before Meghan was in the picture. Speaking of Harry, he apparently once bought the Queen singing Big Mouth Billy Bass that she supposedly later hung up in Balmoral.

Taxpayers allegedly spent over $100 million on the monarchy in 2021

Seeing how the Royal Family makes money and how much they spend on things like staff and travel may not sit well with everyone. There are already plenty of people who argue that it's time to abolish the monarchy, with the cost to taxpayers being one of their biggest arguments. How much does the monarchy cost the UK public, though?

According to the Sovereign Grant Report, the monarchy cost the taxpayer £102.4 million (roughly $116.5 million) during the 2021/22 financial year. This was apparently an increase of 17% from the year before, with much of the money going towards the renovation work at Buckingham Palace. The cost was reportedly spread across 31 million people in the UK.

The monarchy reportedly puts far more into the economy than it takes out

It's easy to look at figures like this and state that the monarchy is a problem for taxpayers. However, this cost doesn't reflect how much money the monarchy brings the UK in return. While the Royal Family might spend millions every year on travel and renovations, they allegedly bring £2.5 billion (around $2.84 billion) annually to the country.

That's according to Brand Finance, which estimates that the monarchy is one of the UK's most valuable assets. So, while the ways the Royal Family makes money might collectively cost UK taxpayers a lot of money, it's supposedly only a fraction of what they pump back into the economy. We doubt that will change anytime soon.

The monarchy attracts tourists who spend millions to support the Royal Family

How is the monarchy able to generate so much money every year? It's primarily through tourism, with people all over the country - and the world - traveling to places like Buckingham Palace and other royal residences. For instance, in the last financial year, 426,000 paying customers reportedly visited Windsor Castle, and admission per person isn't that cheap.

It's not just people wanting to see where the Royals live or precious collections like the crown jewels that generate money for the economy either. There are also things like gift shop sales, with plenty of tourists buying Royal Family souvenirs. Almost £20 million (roughly $22.79 million) was generated from gift shop sales of the royal collection last year.

Princess Charlotte could allegedly boost the economy by several billion during her lifetime

It's not just the grown-up and established members of the Royal Family who help to boost the UK economy either. It seems the kids have quite a significant impact too. It's believed that Princess Charlotte could boost the UK economy by £3.2 billion (around $3.64 billion) during her lifetime because she's such a fashion icon.

Any brand that she associates with is bound to see a significant increase in sales as time goes on. We've already seen it plenty of times with the clothes that Charlotte wears, something that's also occurred with the likes of Kate Middleton and Meghan Markle, too. Even Prince George has had that impact, proving the Royals are good for business.