You might not care about Kate Middleton, or be able to tell the Prince of Wales from Paddington Bear. For plenty of Americans, the public-relations meltdown that besieged the British royal family this week barely registers as a scandal. But here’s a case for caring about the travails of the Windsor clan—aside from being one of the most powerful monarchies in the developed world, the Windsors’ empire is worth $28 billion. And the public uproar this week over how they handled a badly photoshopped image along with the disappearance of their most popular member is showing the cracks in the family’s once-impenetrable facade.
The Photoshop debacle is just the latest in a series of flubs that have led to a popular mistrust with royal media and with the monarchical institution itself. As concern over Kate Middleton’s whereabouts grows, it’s not just public perception that’s at stake for the royal family—the discontent could have an impact on the family’s vast wealth.
“The royal family’s business holdings encompass vast estates, real estate, and investments. While not a ‘business’ in the traditional sense, their assets are influential, contributing significantly to their wealth and the UK economy,” Stacy Jones, founder and CEO of pop culture branding firm Hollywood Branded, tells Fortune. What’s more, “their influence extends beyond mere financial impact—it shapes cultural and societal norms.”
Where does the British monarchy get its money?
“The Firm,” or the most senior members of the royal family, are the faces of a $28 billion empire that includes vast real estate holdings across the United Kingdom such as The Crown Estate, The Duchy of Cornwall, and The Duchy of Lancaster, the latter two of which generate private income for the monarch.
The Duchy of Cornwall is currently overseen by Prince William, as the eldest son of the British monarch (King Charles). The main operation of this duchy is to manage the monarchy’s land holdings in England, which amount to about 135,000 acres. While William isn’t allowed to sell any of the duchy’s assets for personal gain, he still gets the annual revenue the land holdings generate. The duchy’s assets as of 2022 were about $1.5 billion.
The Duchy of Lancaster, meanwhile, is a private estate consisting of a portfolio of lands, properties, and assets held in trust for the sovereign. It includes rural estates, farmland, urban developments, historic buildings, and commercial properties in England and Wales. As of 2022, the estate was worth roughly $831.5 million, and generates $25.5 million in profits each year.
“There’s an argument to be made that the royal family are the most important and influential people in all of England, other than the prime minister,” Evan Nierman, founder and CEO of crisis PR firm Red Banyan, tells Fortune. “These are not ordinary people. They control enormous assets of incalculable value.”
On top of the royal family’s properties, they also earn funding from the Sovereign Grant, or the taxpayer-financed fund that pays the monarch for their official duties. For 2022-2023, King Charles made the equivalent of almost $109 million from that grant, which