A new Bill introduced to Parliament aims to expand The Crown Estate’s investment powers to support the UK’s green energy goals.
The Crown Estate, which manages a wide range of assets owned by the monarchy, including urban and coastal land, is run as an independent business.
Profits from the Estate are transferred to the Treasury, which then makes an annual payment to the monarch through the Sovereign Grant.
The new Bill proposes to remove current restrictions on The Crown Estate’s investment activities, allowing it to borrow money from the government, with Treasury approval, to invest in large scale projects.
This borrowing would be at commercial rates, aiming to provide a net benefit to public finances.
The Bill also includes changes to The Crown Estate’s governance to align with modern corporate standards.
Financial Secretary to the Treasury, Lord Livermore, said the new measures would enable The Crown Estate to further invest in the energy transition, contributing to net zero, nature recovery, economic growth and public revenue.
Lord Livermore also highlighted that the borrowing powers would help accelerate the development of offshore wind and other technologies, such as carbon capture, tidal energy and hydrogen.
Lord Livermore said: “The Crown Estate has a diverse portfolio that includes management of the seabed and half the foreshore around England, Wales and Northern Ireland.
“It plays a fundamental role in the sustainable development of these assets, including the UK’s world leading offshore wind, renewables and greenhouse gas reduction technologies.
“Together, Great British energy and the Crown Estate will accelerate the development of the seabed and support infrastructure along the coast of England, Wales and Northern Ireland, creating a pipeline of sites for private developers to invest in.
“That means more clean power happening faster than would otherwise be the case.”
