King Charles forgoes Buckingham Palace residence after £369m refit, reveals £12.9m tax bill
King Charles III will not move into Buckingham Palace after its £369 million renovation concludes next year, choosing instead to remain at Clarence House and open the landmark to more public access. The decision was announced alongside the first public disclosure of the monarch's personal tax payments, revealing £12.9 million paid in 2024–25.
Palace residence decision
The king and queen will remain at Clarence House, their London home since 2003, rather than moving into Buckingham Palace after its renovation ends next year. The decision breaks a tradition that began with Queen Victoria in 1837. James Chalmers, keeper of the privy purse, said the palace would remain the monarchy’s ceremonial and operational headquarters, hosting state functions, garden parties, and receiving foreign dignitaries.
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.
- Queen Victoria becomes first monarch to use Buckingham Palace as official London residence.
- Prince Charles moves into Clarence House.
- £369m, 10-year refurbishment of Buckingham Palace begins.
- Charles becomes King Charles III after the death of Queen Elizabeth II.
- Royal officials announce the king will not reside at Buckingham Palace and disclose personal tax payments.
- Refurbishment scheduled to complete; palace to open more to the public.
Tax disclosure
For the first time, a British monarch made public the amount of personal taxes paid. Charles paid £12.9 million in income and capital gains tax for the 2024/25 financial year, placing him among the UK’s top 100 taxpayers. He voluntarily paid £11.7 million the previous year and more than £30 million since his accession in 2022. Prince William paid £7.76 million in the same period. The king is not legally required to pay these taxes but has done so following the precedent set by Queen Elizabeth II in 1993.
Sovereign Grant and finances
The Sovereign Grant, which funds official duties, reached £132.1 million in 2025/26 and will rise to £137.9 million in 2026/27 to cover the final year of the Buckingham Palace refurbishment. After the project concludes, the grant will be fixed at £99.9 million annually for five years, according to royal accounts. The king also receives private income from the Duchy of Lancaster estate, amounting to £25.2 million in 2025/26.
- 2025/26
- 132.1 £ million
- 2026/27
- 137.9 £ million
- 2027/28 onwards
- 99.9 £ million
Public access and future use
The decision to keep the royal couple out of the palace aims to allow more public access. About 700,000 people visit each year, with guided tours costing up to £100. Officials said the presence of the king would restrict visitor numbers due to security. The palace will instead operate as a working palace while Charles retains private rooms for daytime use or occasional overnight stays.
It will be a buzzing hive of royal activity in every other way.
