King Charles will not live at Buckingham Palace after refit

London. King Charles III will not move into Buckingham Palace after the completion of its 10-year refurbishment programme next year, royal officials announced on Thursday, bringing to an end nearly two centuries of the palace serving as the British monarch's primary residence.

The announcement came as royal officials also disclosed that King Charles paid £12.9 million in tax during the 2024/25 financial year, the first time the figure has been made public, placing him among the United Kingdom's top taxpayers.

The disclosures form part of efforts by the royal family to increase transparency over its finances amid heightened public scrutiny following the death of Queen Elizabeth II in 2022.

King Charles has decided to remain at Clarence House, his long-time London residence, even after the completion of the £369 million refurbishment project at Buckingham Palace, which began in 2017 and involves replacing ageing electrical systems, plumbing and heating infrastructure.

When the refurbishment project was launched, royal officials had expected Buckingham Palace to continue serving as the monarch's principal London residence, a role it has held since Queen Victoria ascended to the throne in 1837.

However, James Chalmers, the King's Treasurer and Keeper of the Privy Purse, said Buckingham Palace would continue to serve as the centre of royal and state functions, including hosting state visits and major ceremonial events.

"It is and will remain 'monarchy HQ', the crown jewel of our national buildings, with the sovereign's standard flying proudly from the roof whenever His Majesty is in London," Chalmers told reporters.

Neither King Charles nor Queen Elizabeth II had spent a night at Buckingham Palace since 2019. The King will, however, retain private accommodation within the palace for occasional use.

Chalmers also said public access to Buckingham Palace, which attracts around 700,000 visitors annually, would be expanded, although he did not provide further details.

Under British law, the monarch is not required to pay income tax, capital gains tax or inheritance tax. However, King Charles, like his mother since 1993, has voluntarily paid tax on his private income.

The King's private income comes primarily from the Duchy of Lancaster estate, which is expected to generate £25.2 million in 2025/26, in addition to income from other assets and investments.

According to Chalmers, King Charles paid £11.7 million in tax in 2023/24 and more than £30 million in total since ascending to the throne in 2022.

The monarch also receives funding through the Sovereign Grant, which is financed through a proportion of profits from the Crown Estate. In exchange, revenues from the Crown Estate are transferred to the Treasury. The grant covers official expenses, including staffing, maintenance of royal residences and travel.

The Sovereign Grant increased from £86 million in 2024/25 to £132 million in 2025/26 following increased revenues from offshore wind farm licences and is projected to rise to £137.9 million in 2026/27.

However, Chalmers said the grant would be reduced for the first time in 2027/28 to £100 million, in line with the King's wishes, and would remain at that level until 2031/32.

The current level remains significantly higher than the amount allocated before reforms introduced in 2016 to finance the Buckingham Palace refurbishment.

"This is not a blank cheque," Chalmers said, adding that safeguards were in place to ensure the funding remained proportionate.

The royal family's finances have faced increased scrutiny in recent years. Media reports in 2024 revealed that the Duchy of Lancaster and the Duchy of Cornwall, controlled by heir to the throne Prince William, had charged rent to public institutions, including the National Health Service, the military and schools.

Prince William's office said he paid £7.76 million in tax during the 2024/25 financial year and had directed that £1.5 million in rental income from a former prison property be allocated to the local community.

Despite the latest disclosures, critics argue that the finances of the British monarchy remain insufficiently transparent.

"Another hike for Charles, more spin and gloss and more misdirection on taxes," said Graham Smith, chief executive of the anti-monarchy campaign group Republic. "This is the way with royal reporting: the more they reveal, the more questions are raised."