King Charles III has made history as the first British monarch to publicly release his tax bill, having paid over £30 million in income and capital gains tax since acceding to the throne in September 2022. Buckingham Palace reported that Charles paid more than £12.9 million to HM Revenue and Customs (HMRC) in the 2024/25 tax year and an additional £11.7 million the previous year, positioning him among the UK's top 100 taxpayers.

This move, driven by the King's personal request, aims to enhance transparency and accessibility regarding royal finances, which are under increasing public scrutiny. James Chalmers, Keeper of the Privy Purse, stated the King's determination to bring clarity to these matters.

Prince William, the Prince of Wales, has also disclosed his tax payments. He paid £7.76 million in 2024/25 and £8.34 million in 2023-24. According to his private secretary, Ian Patrick, William has paid over £20 million to HMRC since becoming Prince of Wales, acknowledging the public interest in these financial arrangements and the importance of transparency.

William's income as Prince of Wales is largely derived from the Duchy of Cornwall, a landed estate whose profits fund his public duties and private expenditures. Last year, he received £21.6 million from the Duchy. He voluntarily pays income tax at the highest rate on any net surplus after deducting official expenditures. His aides have not disclosed the specific amount of these expenditures.

Royal Finances and the Sovereign Grant

The King's private finances are supported by the Privy Purse, which includes income from the Duchy of Lancaster, personal investments, and profits from private estates like Sandringham and Balmoral. The Duchy of Lancaster, established in the 13th century, provides the sovereign with a degree of financial independence. The King voluntarily pays income and capital gains tax on these private earnings, excluding profits from the Duchy itself.

Public funding for the monarch's official duties comes from the Sovereign Grant, calculated based on a legal formula and reviewed every five years. This grant covers travel, property maintenance, payroll, and the running of the Royal Household. The grant increased to £132.1 million in the last year, primarily due to major building works at Buckingham Palace. However, Chalmers stated that the Sovereign Grant is expected to fall to £100 million and remain flat for the next five years, aligning with the King's stated wishes.

Anti-monarchist group Republic has criticized the grant as "inflated," but Buckingham Palace maintains that the funds are not a "blank cheque" and that expenditures are subject to the same standards as any publicly funded body.

Royal Travel Costs

The cost of royal travel rose by £400,000 to £5.1 million last year, attributed to an increased workload and the King's return to international travel following his cancer diagnosis. The most expensive journey was Prince William's trip to Saudi Arabia, which cost £130,106. The King and Queen's state visit to Italy followed at £126,946, utilizing a private plane. Other significant travel expenses included Princess Anne's trip to Turkey (£48,090) and the Duke and Duchess of Edinburgh's travel to Papua New Guinea and Japan (£70,541) on scheduled flights.

Royal Estates and Taxation

While the King and Prince of Wales voluntarily pay income tax, the Duchies of Cornwall and Lancaster are not subject to corporation or capital gains tax and are passed down through generations free of inheritance tax. Experts note that the boundary between personal and Crown assets can be unclear. Although much of the Royal Family's wealth is effectively state-owned, the disclosure of tax bills aims to present their finances in more conventional terms, placing them among the top percentage of taxpayers.