Taxpayer funding for Queen's household to remain at £7.9m

Funding for the Queen's household by the taxpayer through the Civil List will remain frozen at £7.9 million for the coming year, Chancellor George Osborne announced today.

Delivering his first Budget statement to the House of Commons, Mr Osborne said the freeze was made with Her Majesty's full agreement.



A new means of support for her will be proposed at a later date, he added.



He said: "The amount provided by the Civil List has remained unchanged over the last 20 years at £7.9 million.



"This has required careful management. Because of inflation, the annual payment is today worth only a quarter of what it was 20 years ago.



"I can announce that with the full agreement of the Queen, the Civil List will remain frozen at £7.9 million for the coming year and I will propose a new means of consolidated support for Her Majesty for the future at a later date."



The royal households have agreed that in future, Civil List expenditure will be subject to the same audit scrutiny as other Government expenditure through the National Audit Office and the Commons Public Accounts Committee, he added.



Mr Osborne said: "I believe this will mean clear accountability in this House and it will strengthen public confidence."



He paid tribute to the Queen's "loyal service and immense contribution to public life."



The Civil List pays for staff costs and running expenses of the Queen's household and is set every 10 years. A revised figure was due this year.



The Queen was reported last month to have asked for an increase in taxpayer funding.



The sum paid to her household was raised to £7.9 million a year by Sir John Major in 1990 but frozen in 2000 following a deal with the Treasury to compensate for 10 years of over-generous payments.



The Sunday Telegraph reported that Buckingham Palace had told Government officials that spending was now £7 million above the annual limit and that the surplus would run out in 2012.



But a cross-party group of MPs is understood to have backed a call for a freeze.



An ICM poll commissioned by Republic, a group campaigning for a democratic alternative to the monarchy, showed 56% of people opposed an increase in the Civil List.



The results, published yesterday, revealed that just 28% believe the Queen should receive more money from taxpayers.



The Queen and the Duke of Edinburgh are the only members of the Royal Family to receive a Parliamentary allowance each year.



The funding dates back to 1760, when King George III agreed with the Government that the Crown Lands would be managed on the Government's behalf, with surplus revenue going to the Treasury.



It was agreed that the King would receive a fixed annual payment in return, which later became known as the Civil List.



About 70% of the funding is used to pay staff salaries. The money is also used to help fund official functions such as garden parties, receptions and entertainment during state visits.



The Royal Household employs about 1,200 staff, including caterers, gardeners, secretaries, press officers, property surveyors and furniture restorers.



The Queen entertains nearly 50,000 people each year.





Republic welcomed the decision not to raise the Civil List payment this year but suggested Mr Osborne could have gone further and cut the taxpayer funding for the Queen's household.



Campaign manager Graham Smith said: "This is a huge victory for our campaign. We've been demanding these sorts of reforms for the last five years.



"The devil is in the detail but we welcome the fact that the National Audit Office will be monitoring the accounts.



"The big question is, when everything is being cut, why is the Civil List only being frozen? This is an opportunity to cut tens of millions of pounds off the public spending bill."



The group called for a "genuine review" with a view to cutting the overall cost.



Mr Smith added: "We believe a much greater level of transparency will be very embarrassing for the monarchy as it will reveal a lot of spending of public money that is clearly inappropriate."









The latest report on Civil List expenditure found that the royal household had been a "good housekeeper" since the last report, in 2000.



The Report of the Royal Trustees also revealed the salaries and pension payments for members of the Lord Chamberlain's Committee who are paid from the Civil List.



Sir Alan Reid, the Keeper of the Privy Purse and royal finances, was paid £180,000 in 2009-10.



As Treasurer to the Queen, Sir Alan's role includes overseeing the management of the Civil List.



The Private Secretary to the Queen, the Rt Hon Christopher Geidt, earned £146,000 over the same period.



The report revealed that during the past decade, the royal household was responsible for additional expenditure of £2.2 million a year, which had previously been met by other Government departments.



It also agreed to take on responsibility for £600,000 a year of additional expenditure on security and freedom of information.



The amount of extra expenditure absorbed by the royal household now totals £3.6 million a year.



The report recommended that in 2011 the royal household takes on responsibility for £200,000 of costs formerly covered by the Home Office and Ministry of Defence.



But Government departments are expected to spend £3.8 million in this financial year on functions such as state visits to and by the Queen and maintenance of the Palace of Holyroodhouse in Scotland and Home Park at Windsor Castle.



The new means of supporting the Queen in her public duties, referred to by Mr Osborne in the Commons, will be developed "beyond 2011".



The Budget said: "The current arrangements for supporting the royal household, established in 1972, need to be replaced.



"There will be a simple modern means to provide consolidated finances for the Queen's future expenses as head of state in an efficient, dignified and accountable fashion."

Sport
The Pipes and Drums of The Scottish Regiments perform during the Opening Ceremony for the Glasgow 2014 Commonwealth Games at Celtic Park on July 23, 2014 in Glasgow, Scotland.
Commonwealth gamesThe actor encouraged the one billion viewers of the event to donate to the children's charity
Sport
Members of the Scotland deleagtion walk past during the opening ceremony of the 2014 Commonwealth Games at Celtic Park in Glasgow on July 23, 2014.
Voices
voicesGood for Lana Del Rey for helping kill that myth, writes Grace Dent
Arts and Entertainment
The Tour de France peloton rides over a bridge on the Grinton Moor, Yorkshire, earlier this month
film
PROMOTED VIDEO
Have you tried new the Independent Digital Edition apps?
News
ebookA unique anthology of reporting and analysis of a crucial period of history
Life and Style
fashion Designs are part of feminist art project by a British student
News
Very tasty: Vladimir Putin dining alone, perhaps sensibly
news
Life and Style
Listen here: Apple EarPods offer an alternative
techAre custom, 3D printed earbuds the solution?
Arts and Entertainment
Top guns: Cole advised the makers of Second World War film Fury, starring Brad Pitt
filmLt-Col Steven Cole is the man Hollywood calls when it wants to borrow a tank or check a uniform
News
The University of California study monitored the reaction of 36 dogs
sciencePets' range of emotions revealed
News
Snoop Dogg pictured at The Hollywood Reporter Nominees' Night in February, 2013
people... says Snoop Dogg
Arts and Entertainment
A scene from Shakespeare in Love at the Noel Coward Theatre
theatreReview: Shakespeare in Love has moments of sheer stage poetry mixed with effervescent fun
News
Joining forces: young British men feature in an Isis video in which they urge Islamists in the West to join them in Iraq and Syria
newsWill the young Britons fighting in Syria be allowed to return home and resume their lives?
Arts and Entertainment
The nomination of 'The Wake' by Paul Kingsnorth has caused a stir
books
News
i100
Life and Style
food + drinkZebra meat is exotic and lean - but does it taste good?
Independent
Travel Shop
the manor
Up to 70% off luxury travel
on city breaks Find out more
santorini
Up to 70% off luxury travel
on chic beach resorts Find out more
sardina foodie
Up to 70% off luxury travel
on country retreats Find out more
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs General

BI Manager - £50,000

£49000 - £55000 per annum + competitive: Progressive Recruitment: My client is...

BI Project Manager - £48,000 - £54,000 - Midlands

£48000 - £54000 per annum + Benefits package: Progressive Recruitment: My clie...

VB.Net Developer

£35000 - £45000 per annum + competitive: Progressive Recruitment: If you're pa...

SAP Business Consultant (SD, MM and FICO), £55,000, Wakefield

£45000 - £55000 per annum + competitive: Progressive Recruitment: SAP Business...

Day In a Page

Screwing your way to the top? Good for Lana Del Rey for helping kill that myth

Screwing your way to the top?

Good for Lana Del Rey for helping kill that myth, says Grace Dent
Will the young Britons fighting in Syria be allowed to return home and resume their lives?

Will Britons fighting in Syria be able to resume their lives?

Tony Blair's Terrorism Act 2006 has made it an offence to take part in military action abroad with a "political, ideological, religious or racial motive"
Beyoncé poses as Rosie the Riveter, the wartime poster girl who became a feminist pin-up

Beyoncé poses as Rosie the Riveter

The wartime poster girl became the ultimate American symbol of female empowerment
The quest to find the perfect pair of earphones: Are custom, 3D printed earbuds the solution?

The quest to find the perfect pair of earphones

Earphones don't fit properly, offer mediocre audio quality and can even be painful. So the quest to design the perfect pair is music to Seth Stevenson's ears
US Army's shooting star: Lt-Col Steven Cole is the man Hollywood calls when it wants to borrow a tank or check a military uniform

Meet the US Army's shooting star

Lt-Col Steven Cole is the man Hollywood calls when it wants to borrow a tank or check a military uniform
Climate change threatens to make the antarctic fur seal extinct

Take a good look while you can

How climate change could wipe out this seal
Should emergency hospital weddings be made easier for the terminally ill?

Farewell, my lovely

Should emergency hospital weddings be made easier?
Man Booker Prize 2014 longlist: Crowdfunded novel nominated for first time

Crowdfunded novel nominated for Booker Prize

Paul Kingsnorth's 'The Wake' is in contention for the prestigious award
Vladimir Putin employs a full-time food taster to ensure his meals aren't poisoned

Vladimir Putin employs a full-time food taster

John Walsh salutes those brave souls who have, throughout history, put their knives on the line
Tour de France effect brings Hollywood blockbusters to Yorkshire

Tour de France effect brings Hollywood blockbusters to Yorkshire

A $25m thriller starring Sam Worthington to be made in God's Own Country
Will The Minerva Project - the first 'elite' American university to be launched in a century - change the face of higher learning?

Will The Minerva Project change the face of higher learning?

The university has no lecture halls, no debating societies, no sports teams and no fraternities. Instead, the 33 students who have made the cut at Minerva, will travel the world and change the face of higher learning
The 10 best pedicure products

Feet treat: 10 best pedicure products

Bags packed and all prepped for holidays, but feet in a state? Get them flip-flop-ready with our pick of the items for a DIY treatment
Commonwealth Games 2014: Great Scots! Planes and pipers welcome in Glasgow's Games

Commonwealth Games 2014

Great Scots! Planes and pipers welcome in Glasgow's Games
Jack Pitt-Brooke: Manchester City and Patrick Vieira make the right stand on racism

Jack Pitt-Brooke

Manchester City and Patrick Vieira make the right stand on racism
How Terry Newton tragedy made iron men seek help to tackle their psychological demons

How Newton tragedy made iron men seek help to tackle their psychological demons

Over a hundred rugby league players have contacted clinic to deal with mental challenges of game