King Charles has called for the proceeds from a £1bn a year crown-owned wind farms deal to be used for the “wider public good” rather than as additional funding for the monarchy.

Under the taxpayer-funded sovereign grant, now £86.3 a year, the king receives 25% of the annual surplus from the crown estate, which includes an additional 10% for the redevelopment of Buckingham Palace.

Six new offshore wind lease deals, announced by the crown state on Thursday, generated a large windfall for the state, which would typically lead to an increase in official funding for the monarchy.

The monarch’s right to collect royalties from wind and wave energy was granted by the Labor government of Tony Blair in a 2004 act of parliament. The approach contrasts with the job of setting royalties and allocating oil and gas drilling rights, which falls to the government.

But the king, who highlighted the cost-of-living crisis in his Christmas message, called for the additional funds “to be spent for a broader public good”, rather than sovereign grant, at a time when many are facing financial difficulties.

The exact amount of taxpayer funds the king has let through is unclear, but it is likely in the many millions.

The crown estate, an ancient portfolio of land and property, belongs to the reigning monarch “by right of the crown”, but is not his private property.

Earnings for the crown estate increased by £43.4 million to £312.7 million in the year to the end of March, with the value of its seabed portfolio rising to £5bn.

The portfolio also includes parts of central London (the monarch is one of the largest landowners in the West End, including St James’s and Regent Street), as well as farmland, offices and retail parks from Southampton to Newcastle.

The Crown Estate is also responsible for managing the Windsor Estate, which covers almost 16,000 acres (6,500 hectares) and includes parkland and ancient woodland, as well as Ascot Racecourse.

The total value of the crown estate properties was estimated at £15.6 billion in the most recent annual accounts.

The monarch delivers the income from the estate (over £312m a year) to the Treasury each year for the benefit of the nation’s finances, in return for the sovereign grant.

The keeper of the king’s private purse, Sir Michael Stevens, who manages the royal household’s finances, has contacted Prime Minister Rishi Sunak and Chancellor Jeremy Hunt, fellow royal trustees, to request “a appropriate reduction” in the percentage of crown estate earnings used for the sovereign grant.

A Buckingham Palace spokesperson said: “In light of the offshore power windfall, the private purse keeper has written to the Prime Minister and Chancellor to share the King’s wish that this windfall be directed to a wider public good, rather than to the sovereign grant, through an appropriate reduction in the proportion of surplus crown patrimony that finances the sovereign grant.”

The sovereign grant is based on funds two years in arrears, so any increase in crown estate earnings and new percentage arrangements would not affect the grant until 2024-2025.

The Sovereign Grant covers the running costs of the royal household and events such as official receptions, investitures and garden parties.

The percentage increased from 15% to 25% in 2017 to cover the cost of a 10-year program worth £369m of repairs to the palace.

The grant increases if the benefits of the crown estate increase, but does not decrease when they decrease.

The crown estate confirmed on Thursday that it had signed lease agreements for six offshore wind projects that have the potential to power more than 7 million homes.

Three of the six projects are located off the North Wales, Cumbria and Lancashire coast, and three are located in the North Sea off the Yorkshire and Lincolnshire coast.

Together they will pay around £1bn to the crown estate each year.

The awardees, who were announced last yearIt included Germany’s RWE Renewables, which won two licenses at Dogger Bank, off the Yorkshire coast, and two from a consortium that includes oil company BP.

The sovereign and the royal family in general have three main sources of income: the Crown Estate, the Duchy of Lancaster and the Duchy of Cornwall, with combined assets of over £17bn.

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