Prince William has annually paid up to £7 million in income tax, positioning him as one of the top taxpayers in the UK. A recent report reveals that his significant tax contribution places him in the top 0.002 percent of taxpayers in the country.
The majority of Prince William’s income is derived from the annual £20 million profit received from the Duchy of Cornwall, a private land estate valued at around £1.1 billion, traditionally passed down to every heir to the throne since the 14th century.
As per a report by the Sunday Times, Prince William voluntarily pays the highest marginal tax rate of 45 percent on his personal earnings, even though he is not legally obligated to do so following an agreement between Queen Elizabeth II and the Treasury in 2013. This mirrors the tax approach taken by his father, King Charles III, who declared an income tax payment of £5.9 million on the £23 million received from the duchy during his time as Prince of Wales in the 2021-22 financial year.
The Duchy of Cornwall, established by King Edward III in 1337 to support his son and heir, currently encompasses between 2,000 and 3,000 properties across 23 counties in England and Wales, covering an estimated 130,000 to 140,000 acres.
In William’s first year overseeing the estate during the 2023-24 financial year, after King Charles III ascended the throne, the Duchy recorded a surplus of £23.6 million. A significant portion of this surplus, approximately £13.5 million, is expected to be subject to taxation, resulting in an estimated tax liability ranging between £5 million and £7 million.
Recent scrutiny regarding the transparency of royal finances has intensified following revelations about the Duchy’s financial dealings with public institutions. Investigations uncovered that the Cornwall and Lancaster estates generated substantial revenue by imposing charges on military, healthcare, and educational entities for access to their land, rivers, and coastal areas.
While these financial arrangements are lawful, they have sparked debates on whether taxpayer-funded organizations should be channeling funds to a private royal estate. A spokesperson from Kensington Palace reiterated that Prince Charles pays the top rate of income and capital gains tax on all his personal income, including proceeds from the Duchy.
