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Crown Estate

The Crown Estate is a collection of lands and holdings in the United Kingdom belonging to the British monarch as a corporation sole, making it "the sovereign's public estate", which is neither government property nor part of the monarch's private estate.[2][3][4][5] The Crown Estate in England, Wales, and Northern Ireland is managed by the Crown Estate Commissioners. In Scotland, the Crown Estate is managed by Crown Estate Scotland, since the Scottish estate was devolved in 2017.[6]

Company type

Statutory corporation under the Crown Estate Act 1961

1760

Parliament and George III, by the establishment of the Civil List

St James's Market
London, SW1

  • Property
  • residential
  • seabed management
  • real estate services
  • offices
  • shopping centres

  • Increase £490.8 million (2022)
  • £486.9 million (2021)
[1]

  • Increase £312.7 million (2022)
  • £269.3 million (2021)
[1]
75% to HM Treasury
25% to The Monarch

  • Increase £15.6 billion (2022)
  • £14.4 billion (2021)
[1]

Charles III
(in right of The Crown)

The sovereign has official ownership of the estate, however, is not involved with the management or administration of the estate, and has no personal control of its affairs. For all practical purposes, the Estate Commissioners shall exercise "all such acts as belong to the Crown's rights of ownership" for the Estate "on behalf of the Crown".[7] The proceeds of the Estate, in part, funds the monarchy. The estate's extensive portfolio is overseen by a semi-independent, incorporated public body headed by the Crown Estate Commissioners, who exercise "the powers of ownership" of the estate, although they are not "owners in their own right".[2] The revenues from these hereditary possessions have been placed by the monarch at the disposition of His Majesty's Government in exchange for relief from the responsibility to fund the Civil Government.[8] These revenues proceed directly to His Majesty's Treasury, for the benefit of the British nation; a percentage of them is then distributed back to the monarch.[2][9][10] The Crown Estate is formally accountable to the Parliament of the United Kingdom,[11] where it is legally mandated to provide an annual report for the sovereign, a copy of which is forwarded to the House of Commons.[7]


The Crown Estate is one of the largest property managers in the United Kingdom, administering property worth £15.6 billion,[1] with urban properties, valued at £9.1 billion,[12] representing the majority of the estate by value. These include many properties in central London, but the estate also controls 7,920 km2 (3,060 sq mi) of agricultural land and forest and more than half of the UK's foreshore, and retains various other traditional holdings and rights, including Ascot Racecourse and Windsor Great Park.[13] While Windsor Home Park is also part of the Crown Estate, occupied royal palaces, such as Windsor Castle itself, are not part of the Crown Estate, but are managed through the Royal Household.[14] Naturally occurring gold and silver in the UK, collectively known as "Mines Royal", are managed by the Crown Estate and leased to mining operators.[15][16]


Historically, Crown Estate properties were administered by the reigning monarch to help fund the business of governing the country. However, in 1760, George III surrendered control over the estate's revenues to the Treasury,[5] thus relieving him of the responsibility of paying for the costs of the civil service, defence costs, the national debt, and his own personal debts. In return, he received an annual grant known as the Civil List.


By tradition, each subsequent monarch agreed to this arrangement upon his or her accession. On 1 April 2012, under the terms of the Sovereign Grant Act 2011 (SSG), the Civil List was abolished and the monarch has since been provided with a stable source of revenue indexed to a percentage of the Crown Estate's annual net income.[17] This was intended to provide a long-term solution and remove the politically sensitive issue of Parliament having to debate the Civil List allowance every ten years. Subsequently, the Sovereign Grant Act allows for all future monarchs to simply extend these provisions for their reigns by Order in Council.[3] The act does not imply any legal change in the nature of the estate's ownership, but is simply a benchmark by which the sovereign grant is set as a grant by Parliament.


King Charles III Accession Council on 10 September 2022 "was the first to include provision for the royal finances", and in one of his first signed Orders in Council, he confirmed his willingness to surrender control of the Crown’s hereditary revenues from the Crown Estate in exchange for the Sovereign Grant.[18]

History[edit]

Crown land in England and Wales[edit]

The history of the Crown lands in England and Wales begins with the Norman Conquest in 1066.[19] By right of conquest, William I (r. 1066–1087) owned all the land in England and was able to redistribute it based on feudal principles. Tenants-in-chief received land directly from the king in return for military service. The land that the king kept for himself was called the royal demesne and divided into royal manors.[20]


When the Domesday survey was completed in 1086, the king was still the largest single landholder, possessing over 18 percent of the landed estates in England. Between 10 and 30 percent of each county belonged to the royal demesne. The king delegated management of royal lands to his sheriffs. Each year, the sheriff paid the king a fixed sum called the "county farm" and was allowed to keep any surplus.[21] The county farms were the largest source of royal revenue, totaling over £10,000 annually.[22]


The size of the royal demesne fluctuated over time. The 70 years after William I died saw substantial alienation of lands, especially during the Anarchy when King Stephen and Empress Matilda attempted to buy support with land grants.[23] Crown lands were often used as patronage to reward the king's family, friends, and servants. At the same time, the Crown lands also grew through confiscations and escheat.[22]


The Crown lands were augmented as well as depleted over the centuries: Edward I extended his possessions into Wales, and James (VI & I) had his own Crown lands in Scotland which were ultimately combined with the Crown lands of England and Wales.[24] The disposals outweighed the acquisitions: at the time of the Restoration in 1660, the total revenue arising from Crown lands was estimated to be £263,598 (equal to £49,987,935 today).[25][26] By the end of the reign of William III (1689–1702) it was reduced to some £6,000 (equal to £1,240,996 today).[25][27]


Before the reign of William III all the revenues of the kingdom were bestowed on the monarch for the general expenses of government. These revenues were of two kinds:[28]

Long title

An Act to make new provision in place of the Crown Lands Acts, 1829 to 1936, as to the powers exercisable by the Crown Estate Commissioners for the management of the Crown Estate, to transfer to the management of the Minister of Works certain land of the Crown Estate in Regent's Park and extend or clarify the powers of that Minister in Regent's Park, to amend the Forestry (Transfer of Woods) Act, 1923, as it affects the Crown Estate, to amend the law as to escheated land, and for purposes connected therewith.

27 July 1961

The Crown Estate is an estate in land only, apart from cash and holdings necessary for the conduct of business.

gilts

The Crown Estate Commissioners, who comprise the main board, are approved by the monarch on the advice of the Prime Minister. They are limited to eight persons.

When selling or letting its property the Crown Estate should always seek to achieve the best consideration (i.e. price) which can reasonably be obtained in all the circumstances, but discounting any monopoly value (mainly from ownership of the foreshore and seabed).

The Crown Estate cannot grant leases for a term of longer than 150 years.

The Crown Estate cannot grant land options for more than ten years unless the property is re-valued when the option is exercised.

The Crown Estate cannot borrow money.

Donations can be made for religious or educational purposes connected with the estate or for tenants' welfare. Otherwise, charitable donations are forbidden.

The character of the Windsor Estate (park and forest) must be preserved; no part of the estate may be sold.

A report should be submitted to the monarch and to Parliament annually, showing the performance of the estate over the previous year.

The Crown Estate should observe professional accounting practices and distinguish in its accounts between capital and revenue.

Governance[edit]

Historical[edit]

Previous officials responsible for managing what is now the Crown Estate were:[81]

Balmoral Castle

Crown Estate Paving Commission

Duchy of Cornwall

Duchy of Lancaster

– Area of managed woodland in Oxshott, Surrey

Prince's Coverts

Regent Street

Sandringham House

Windsor Great Park

Patrimonio Nacional

Annual Reports of Commissioners of Woods and Forests 1811, 1853 and 1855

Best, G. Percival (March 1901). (PDF). The Fortnightly Review. Archived (PDF) from the original on 12 June 2023.

"The Civil List and the Hereditary Revenues of the Crown"

Commissioners of Woods, Forests and Land Revenues (1792). "Part 1". (PDF). Archived from the original (PDF) on 15 June 2011.

Twelfth Report of the Commissioners appointed to Enquire into the State and Conditions of Woods, Forests, and Land Revenues of the Crown

Crown Estate, . Retrieved July 2009

Annual report and accounts 2009

Huscroft, Richard (2016). (2nd ed.). Routledge. ISBN 978-1138786554.

Ruling England, 1042–1217

Pugh, R. B. (1960), (PDF), The Crown Estate, archived from the original (PDF) on 9 April 2011

The Crown Estate: An Historical Essay

Wolffe, B. P. (1971). . London: George Allen & Unwin. ISBN 0049420879.

The Royal Demesne in English History: The Crown Estate in the Governance of the Realm from the Conquest to 1509

Official website

as in force today (including any amendments) within the United Kingdom, from legislation.gov.uk.

Text of the Crown Estate Act 1961