Duchy of Lancaster | |
---|---|
Creation date | 6 March 1351 |
Created by | Edward III |
First holder | Henry of Grosmont |
Present holder | Charles III |
Heir apparent | William, Prince of Wales |
The Duchy of Lancaster is a private estate of the British sovereign. The estate has its origins in the lands held by the medieval Dukes of Lancaster, which came under the direct control of the monarch when Henry Bolingbroke, the then duke of Lancaster, ascended the throne in 1399. [1] [2] In 1461 King Edward IV confirmed that the Duchy would be inherited by the monarch, but held separately from the Crown Estate, the other assets which belong to the monarch.
The Duchy consists of a portfolio of lands, properties, and assets held in trust for the sovereign. The principal purpose of the estate is to provide a source of independent income. [2] [3] The Duchy consists of 18,433 ha (45,550 acres) of land holdings, including rural estates and farmland, urban developments, historic buildings, and commercial properties across England and Wales, particularly in Cheshire, Staffordshire, Derbyshire, Lincolnshire, Yorkshire, Lancashire, and the Savoy Estate in London. [4] As of the financial year ending 31 March 2022, the estate was valued at £652.8 million. [5] The net income of the duchy is paid to the reigning sovereign and amounts to about £24 million per year. [2] [5]
The Duchy exercises some powers and ceremonial duties of the Crown in the historic county of Lancashire, [6] which includes the current ceremonial counties of Lancashire, Greater Manchester, and Merseyside, as well as the Furness area of Cumbria. The Duchy of Lancaster is one of two royal duchies: the other is the Duchy of Cornwall, which provides income to the Duke of Cornwall, a title which is held by the monarch's oldest son.
As the Lancaster inheritance, the estate dates to 1265, when Henry III granted his younger son, Edmund Crouchback, lands forfeited by Simon de Montfort, Earl of Leicester. [7] In 1266, the estates of Robert de Ferrers, 6th Earl of Derby, [8] another protagonist in the Second Barons' War, were added. In 1267 the estate was granted as the county, Honour and Castle of Lancaster. [7] In 1284 Edmund was given the Manor of Savoy near London by his mother, Eleanor of Provence, the niece of the original grantee, Peter II, Count of Savoy. [7] Edward III raised Lancashire into a county palatine in 1351, and the holder, Henry of Grosmont, Edmund's grandson, was created Duke of Lancaster. [7] After his death a charter of 1362 conferred the dukedom on his son-in-law John of Gaunt, Earl of Lancaster, and the heirs male of his body lawfully begotten forever. [7]
In 1399 the Duchy of Lancaster, held by John of Gaunt's son Henry of Bolingbroke, merged with the crown on his appropriation of the throne (after the dispossession from Richard II). His first act as Henry IV was to declare that the Lancastrian inheritance be held separately from the other possessions of the Crown and should descend to male heirs. [7] This separation of identities was confirmed in 1461 by Edward IV when he incorporated the inheritance and the palatinate responsibilities under the title of the Duchy of Lancaster, and stipulated that it be held separate from other inheritances by him and his heirs, but would however be inherited with the Crown, to which it was forfeited on the attainder of Henry VI. [9] The duchy thereafter passed to the reigning monarch. On the death of King Charles I, the duchy came under the control of Parliament; this lasted until the restoration of King Charles II in 1660. [10] In 1760, its separate identity preserved it from being surrendered with the Crown Estates in exchange for the civil list. It is primarily a landed inheritance belonging to the reigning sovereign (now Charles III). When George III surrendered his income from Crown lands in exchange for the Civil List, the Duchy of Lancaster was not mentioned at all as it was bankrupt for most of the century, due to previous monarchs selling its assets or granting leases for political favours. [11] The monarch now does not have the right to sell off the capital assets for personal gain. [10]
In 1830, the Whigs argued that revenues from the two duchies of Lancaster and Cornwall should go to the public, but to secure King William IV's support for the Reform Act 1832 they eventually approved the civil list and left the duchies in possession of the royal family. [11] Parliament debated the two duchies' ownership multiple times, including when Queen Victoria and King Edward VII ascended the throne, respectively. [11] In 1936, leader of the opposition Clement Attlee introduced an amendment to the civil list bill which would have seen the duchies surrendered in exchange for an adjusted annual sum of money tied to the actual cost of royal functions, but the amendment was defeated. [11] In 1971, a private member's bill to nationalise the duchy was defeated, but more than 100 MPs supported it. [10]
In 2011, the duchy established a rebalancing asset plan[ clarification needed ] and sold most of the Winmarleigh estates farms in Lancashire, and donated a plot of land to the Winmarleigh Village Hall committee by June 2012. [12] [13]
In 2017, the Paradise Papers revealed that the duchy held investments in two offshore financial centres, the Cayman Islands and Bermuda. Both are British Overseas Territories of which Queen Elizabeth II was monarch, and the governors of those territories were nominally her appointees. While Bermuda has been self-governing since 1620, the internal autonomy of the Cayman Islands is informal;[ citation needed ] also, Britain handles the foreign policy of both territories. Labour Party Leader Jeremy Corbyn posited that the Queen should apologise, saying that anyone who keeps money offshore for tax avoidance purposes should "not just apologise for it, [but] recognise what it does to our society." A spokesman for the duchy said that all of their investments are audited and legitimate, and that the Queen voluntarily pays taxes on income she receives from duchy investments. [14] The duchy's investments were revealed to include First Quench Retailing off-licences and rent-to-own retailer BrightHouse. [15] The palace later stated that offshore investments had been exited by 2019. [11]
The duchy is administered on behalf of the sovereign by the chancellor of the duchy of Lancaster, a government minister appointed by the sovereign on the advice of the prime minister, and by the clerk of the council. [16] The former position is sometimes held by a cabinet minister, but is always a ministerial post. For at least the last two centuries the duchy has been run by a deputy; the chancellor has rarely had any significant duties pertaining to its management but is available as a minister without portfolio and is answerable to Parliament for the effective running of the estate. [17] [18] [19] [20]
The monarch derives the privy purse from the revenues of the duchy. The surplus for the year ended 31 March 2015 was £16 million and the duchy was valued at just over £472 million. [21] Its land holdings are not to be confused with the Crown Estate, whose revenues have been handed to the Treasury since the 18th century in exchange for the receipt of a yearly payment.
The Duchy Council's primary officers carrying out the estate's day-to-day duties are the clerk of the council of the duchy of Lancaster (the chief executive officer), the chairman of the council, and the chief finance officer. [22] The chancellor is responsible for the appointment of the steward and the barmaster of the barmote courts on behalf of the sovereign in right of the duchy. [23]
Since the Local Government Act 1972, the monarch in right of the duchy appoints the high sheriffs and lords lieutenant in Greater Manchester, Merseyside and Lancashire. [24]
Both the duchy of Lancaster and the duchy of Cornwall have special legal rights not available to other estates held by peers or counties palatine. For example, in the United Kingdom bona vacantia ("ownerless property") is generally administered by the Crown, but within the county palatine is administered by the duchy. [25]
The holdings of the duchy are divided into eight units called surveys: five rural, one urban, one foreshore and one mineral. The rural surveys make up most of the assets and area but the urban survey generates a greater income. The holdings were accrued over time through marriage, inheritance, gift and confiscation, and in modern times by purchase and sale. [4]
As of the financial year ending 31 March 2022, the estate was valued at £652.8 million. [5] The net income of the duchy is paid to the reigning sovereign, and amounts to about £24 million per year. [2] [5] As the duchy is an inalienable asset of the Crown held in trust for future sovereigns, the current sovereign is not entitled to the portfolio's capital or capital profits. [2] [37] The duchy of Lancaster is not subject to tax, but as the monarch has voluntarily paid both income and capital gains tax since 1993 income from the duchy is taxed in practice. [22] [38]
Revenue surplus or income from the Duchy of Lancaster has increased considerably over time. In 1952, the surplus was £100,000 a year. Almost 50 years later in 2000, the revenue surplus had increased to £5.8M. In 2010, the revenue surplus stood at £13.2M, and by 2017, the surplus had grown to £19.2M. [39]
Knaresborough Castle is a ruined fortress overlooking the River Nidd in the town of Knaresborough, North Yorkshire, England.
The monarchy of the United Kingdom, commonly referred to as the British monarchy, is the form of government used by the United Kingdom by which a hereditary monarch reigns as the head of state, with their powers regulated by the British Constitution. The term may also refer to the role of the royal family within the UK's broader political structure. The current monarch is King Charles III, who ascended the throne on 8 September 2022, upon the death of his mother, Queen Elizabeth II.
A duchy, also called a dukedom, is a medieval country, territory, fief, or domain ruled by a duke or duchess, a ruler hierarchically second to the king or queen in Western European tradition.
Duke of Cornwall is a title in the Peerage of England, traditionally held by the eldest son of the reigning British monarch, previously the English monarch. The Duchy of Cornwall was the first duchy created in England and was established in a royal charter in 1337 by King Edward III. Prince William became Duke of Cornwall following the accession of his father, King Charles III, to the throne in 2022, and his wife, Catherine, became Duchess of Cornwall.
The dukedom of Lancaster is a former English peerage, created three times in the Middle Ages, which finally merged in the Crown when Henry V succeeded to the throne in 1413. Despite the extinction of the dukedom the title has continued to be used to refer to the reigning monarch of the United Kingdom in relation to the County Palatine of Lancaster and the Duchy of Lancaster, an estate held separately from the Crown Estate for the benefit of the sovereign.
The Savoy Palace, considered the grandest nobleman's townhouse of medieval London, was the residence of prince John of Gaunt until it was destroyed during rioting in the Peasants' Revolt of 1381. The palace was on the site of an estate given to Peter II, Count of Savoy, in the mid-13th century, which in the following century came to be controlled by Gaunt's family. It was situated between the Strand and the River Thames. The Tudor-era Savoy Chapel was located on the former estate property and carried on the name; today, the name is carried on by the Savoy Theatre and Savoy Hotel, again both located on the former estate. In the locality of the palace, the administration of law was by a special jurisdiction, separate from the rest of the county of Middlesex, known as the Liberty of the Savoy. French monarch John II of France died here after an illness.
The Chancellor of the Duchy of Lancaster is a ministerial office in the Government of the United Kingdom. Excluding the prime minister, the chancellor is the highest ranking minister in the Cabinet Office, immediately after the Prime Minister, and senior to the Minister for the Cabinet Office. The role includes as part of its duties the administration of the estates and rents of the Duchy of Lancaster.
The Duchy of Cornwall is one of two royal duchies in England, the other being the Duchy of Lancaster. The eldest son of the reigning British monarch obtains possession of the duchy and the title of Duke of Cornwall at birth or when his parent succeeds to the throne, but may not sell assets for personal benefit and has limited rights and income while a minor.
The Privy Purse is the British sovereign's private income, mostly from the Duchy of Lancaster. This amounted to £20.1 million in net income for the year to 31 March 2018.
Crown land, also known as royal domain, is a territorial area belonging to the monarch, who personifies the Crown. It is the equivalent of an entailed estate and passes with the monarchy, being inseparable from it. Today, in Commonwealth realms, crown land is considered public land and is apart from the monarch's private 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. 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.
In England, Wales and Ireland a county palatine or palatinate was an area ruled by a hereditary nobleman enjoying special authority and autonomy from the rest of a kingdom. The name derives from the Latin adjective palātīnus, "relating to the palace", from the noun palātium, "palace". It thus implies the exercise of a quasi-royal prerogative within a county, that is to say, a jurisdiction ruled by an earl, the English equivalent of a count. A duchy palatine is similar but is ruled over by a duke, a nobleman of higher precedence than an earl or count.
Lancashire is a county of England, in the northwest of the country. The county did not exist in 1086, for the Domesday Book, and was apparently first created in 1182, making it one of the youngest of the traditional counties.
A high sheriff is a ceremonial officer for each shrieval county of England and Wales and Northern Ireland or the chief sheriff of a number of paid sheriffs in U.S. states who outranks and commands the others in their court-related functions. In Canada, the High Sheriff provides administrative services to the supreme and provincial courts.
Unowned property includes tangible, physical things that are capable of being reduced to being property owned by a person but are not owned by anyone. Bona vacantia is a legal concept associated with the unowned property, which exists in various jurisdictions, with a consequently varying application, but with origins mostly in English law.
The Savoy was a manor and liberty located between the Liberty of Westminster, on two sides, the Inner and Middle Temple part of City of London and the River Thames. It was in the county of Middlesex. Named for the Savoy Palace, it came to be held by the Duchy of Lancaster, and was also known as the Liberty of the Duchy of Lancaster. The duchy continues to have land holdings within the area. The manor, enjoying the status of a liberty, comprised the precinct of the Savoy, the southern half and detached south-west of the parish of St Clement Danes and about three quarters of St Mary le Strand as it only, in a tiny part, extended north of Strand whereas those parishes straddled this ancient road.
The King's Chapel of St John the Baptist in the Precinct of the Savoy, also known as the King's Chapel of the Savoy, is a church in the City of Westminster, London. Facing it are 111 Strand, the Savoy Hotel, the Institution of Engineering and Technology and – across the green to its side – the east side of Savoy Street. The chapel is designated as a Grade II* listed building.
Currently, there are two duchies in England; the royal Duchy of Lancaster and the royal Duchy of Cornwall. Unlike historic duchies in England, these are no longer coextensive with a distinct geographic area, although they originated in the counties palatine of Lancaster and Cornwall. Rather, they are "Crown bodies", regulated by Acts of Parliament, that have some of the powers of a corporation or trust. The administration of the duchies is regulated by the Duchies of Lancaster and Cornwall (Accounts) Act 1838. The duchies invest primarily in land, and their income is payable either to the monarch or the monarch's eldest heir.
The finances of the British royal family come from a number of sources. The British government supports the monarch and some of his family financially by means of the Sovereign Grant, which is intended to meet the costs of the sovereign's official expenditures. This includes the costs of the upkeep of the various royal residences, staffing, travel and state visits, public engagements, and official entertainment. Other sources of income include revenues from the Duchies of Lancaster and Cornwall, income from assets of other trusts, income from private investments, and a parliamentary annuity.
The Sovereign Grant Act 2011 is the Act of the Parliament of the United Kingdom that introduced the Sovereign Grant, the payment that is paid annually to the monarch by the government in order to fund the monarch's official duties. It is usually set as a percentage of annual income from the Crown Estate. The Sovereign Grant Act was the biggest reform to the finances of the British royal family since the inception of the Civil List in 1760. In addition to the Sovereign Grant, the monarch continues to receive the revenue of the Duchy of Lancaster, while the Prince of Wales receives the revenues of the Duchy of Cornwall.
{{cite news}}
: CS1 maint: bot: original URL status unknown (link)