In some regions, the British royal family benefits from the inheritance of people who die without relatives. According to a media report, contrary to what has previously been stated, the money is rarely donated to charity.
King Charles III According to a British newspaper report, benefits from the inheritance of thousands of people. Typically, real estate, money and other assets go to the state in cases where people die without a will or heirs. In the duchies of Lancaster and Cornwall, which are traditionally privately owned by the Crown, the royal property managers receive the “bona vacantia”, which means abandoned property.
Money for renovation instead of charity?
In the past ten years, income of more than 70 million euros has been collected, reports the “Guardian”. Officials have long stated that the “bona vacantia” proceeds, after deducting all costs, would be donated to charity. However, the research should show that this only happens with a small part of the income.
Internal documents available to the newspaper prove that the money will also be used to renovate properties in the northwestern English Duchy of Lancaster that belong to the king personally and are rented out for income. This year, Charles received £26 million from the Duchy of Lancaster for the first time since he inherited the estate from his mother.
After the article was published, the Lancaster administration announced that it would invest more than 115 million euros in investment funds that also focus on ethical aspects.
“Unethical investments”
Critics described the regulation as archaic. The anti-monarchy organization Republic spoke of an “admission of unethical investments.” At the same time, Republic criticized: “But they will still invest money that will be taken from the dead and spent as Charles wishes.”
According to the Guardian, the duchy had previously not provided any information as to whether its charities had invested in oil or gas, tobacco, weapons or mining companies. However, there is now no evidence that the use of the “bona vacantia” titles will be changed, the paper reported at the weekend.
The Duchy of Lancaster is considered the king’s largest source of income and has increased by well over £20 million in recent years. The property includes some of the most famous addresses in London as well as properties in England and Wales.
“Bizarre remnant of feudal Britain”
Greater Manchester mayor Andy Burnham called the “bona vacantia” rule in the Duchy of Lancaster “a bizarre remnant of feudal Britain”. His colleague for the Liverpool City area, Steve Rotheram, called for clarification and transparency. “Good causes have been bypassed and instead it appears that money has been spent on renovating royal properties,” criticized Rotheram.
The southwest English Duchy of Cornwall, which is traditionally administered by the heir to the throne – Charles’ older son Prince William – also benefits from “bona vacantia” titles. However, this duchy has been pursuing an ethical investment strategy for a long time. None of the duchies have to pay corporate or capital gains tax.