Britain’s royalty contributes nearly £1.8bn to the UK economy every year, according to a new analysis of the value of the monarchy to be published today.
The biggest single benefit offered by the monarchy to UK economy comes in a £550m annual boost to tourism, according to Brand Finance research.
The total monetary value of the monarchy, including its tangible assets as well as the value of its brand, is £67.5bn, according to Brand Finance’s methodology.
The royals’ physical assets, such as Buckingham Palace, the Crown Jewels, or the Royal Collection of art, are worth £25.5bn, but that figure is dwarfed by the intangible value of the brand, a similar concept to the good will value used in company finances.
Other economic benefits provided by the Royal Family include its positive effect on international trade, estimated to reach £150m per year, and the powerful boosts to British brands via the patronage of members of the monarchy, whether that be through official Royal Warrants or high-profile visits to events.
David Haigh, Brand Finance chief executive, said: “The monarchy is Britain’s national treasure, both symbolically and economically. Especially in the age of Brexit, Britain can rely on royal diplomacy to facilitate trade relations with the Commonwealth and the rest of the world.”
The total annual cost of the monarchy to the taxpayer is £292m, according to the report, a sum some people, such as the Republic pressure group, argue would be better spent on public services.
Yet the monarchy has enjoyed a revival in the public’s estimation over the past decade, boosted by the popularity of the younger members of the Royal Family. A 2015 survey by Yougov found 68 per cent of the British public believe the monarchy to be good for the country, while 71 per cent think the monarchy should remain in place.
The Queen's estate was recently named in reporting from the Paradise Papers among companies controversially, if legally, using offshore accounts to hold assets.
Haigh said: “Its universal appeal translates to the attraction of ‘Brand Monarchy’, offering considerable commercial benefits to all businesses and institutions associated with it.”