The British Royal Family is cashing in on some of their most famous properties by offering them as holiday lets, according to new data from Pikl Insurance. These royal residences are bringing in a substantial income, with estimates suggesting that the monarchy earns over £1.4 million annually from this venture.
Impressive earnings from iconic Royal properties
Pikl Insurance’s analysis reveals that the Royal Family’s holiday let portfolio could be generating around £118,775.85 per month. This translates to an impressive £1,425,310.20 per year, even after factoring in potential cancellations. The average rental price for a room in these prestigious residences is estimated at £1,335 per week, equating to over £5,340 in monthly income per room.
Some of the most lucrative properties include Balmoral Castle, the Castle of Mey’s Captain House, Restormel Manor, and Dumfries House. Balmoral Castle, a summer retreat beloved by the Royals, leads the pack with an estimated monthly income of £36,798.30, despite potential cancellations. The cost for a seven-day stay at Balmoral averages £1,485—significantly higher than the average monthly rent across the UK.
Diverse income streams from Scotland to Cornwall
Other properties also contribute significantly to the Royal Family’s earnings. The Captain House at the Castle of Mey in the Scottish Highlands brings in around £3,709.92 per month. Meanwhile, Dumfries House in Ayrshire, with over 25 rooms available for booking, generates £31,185.63 monthly. In Cornwall, Restormel Manor is a standout performer, pulling in an impressive £47,082 per month from its multiple rental areas, including converted barns on the estate.
Cliff Ward, Pikl Insurance’s expert in holiday lettings, commented on the findings: “These figures are truly impressive and demonstrate the significant earning potential of these royal residences. While the royal estate is undoubtedly a unique asset, it’s important to note that these properties face similar challenges to any other holiday let, including seasonal fluctuations and cancellations. Nevertheless, the overall income generated is impressive and highlights the potential of this market.”
Balancing income with heritage preservation
Ward also noted the balance the Crown must strike between generating income and preserving the historic significance of these properties. “Balmoral Castle, for example, commands a premium price due to its iconic status, while other properties might offer better occupancy rates. The crown has an important job to do when it comes to finding a delicate balance between maximising income to pay the teams that manage these buildings and preserving the heritage of these historic homes.”
While the primary role of the Royal Family remains serving the nation, these figures highlight the considerable financial potential of their property portfolio. The Royal Family’s ability to generate such significant income from holiday lets offers a fascinating insight into the business side of the monarchy and underscores the value of their estate.
