The royals own private properties and properties they rule because of their positions (these are called Duchies).
The private properties are used by the royal family for their use, but Duchy of Lancaster (over 45,000 acres of land) & Duchy of Cornwall (over 130,000 acres of land) are portfolios of properties, which provide regular income.
These properties provide income as rent from urban developments, agricultural land, historical buildings, coastline properties (energy companies pay to construct wind farms) etc.
In 2019, each Duchy generated an income of over $25 million.
Source 2: Sovereign Grant
The royals owned even more real estate, which included more than 50% of central London, most of the seashores in the UK and some iconic buildings across the country.
But in the 18th century, they were in financial stress; so King George III gave away most of these properties to the government and signed an agreement.
As per the agreement, the government gives the royal family 15% of the profits it makes from these properties as lump sum payment called the sovereign grant.
But the sum is paid to the ‘job of being a queen’ and could be used only to fund official duties such as receptions of important personalities, maintenance of royal palaces, salaries of staff and travel etc.
Sovereign grant, which for 2018-19 was over $100 million, would stop if the Queen relinquished the crown.
While these are two regular sources of income, there is plenty that adds to the net worth.
E.g., the royal art & stamp collection is considered the largest private collection in the world and is worth a few billion dollars.
Also, there are earnings from stock market investments, horses (racing and offering some of the finest horses for breeding) and a host of other fronts.
