FT News Briefing King Charles and the royal finances
Sep 12, 2022
King Charles III faces the challenge of managing the royal finances, a stark contrast to Queen Elizabeth II's approach. As he tours Scotland, the UK braces for the impact of new energy policies on markets. Meanwhile, Gazprom reaps record profits despite reduced gas shipments to Europe. Economic pressures are mounting with rising debt and inflation, creating uncertainty in the financial landscape. Additionally, Ukraine's military advancements are noted amid ongoing tensions with Russia.
AI Snips
Chapters
Transcript
Episode notes
Royal Finances
- King Charles inherits vast financial holdings, including the Crown Estate and Duchy of Lancaster.
- These holdings would make him one of the wealthiest people globally, even without considering public assets.
Management Style
- Charles's management style may differ from the Queen's, but his control is limited.
- Similar to his mother, he might adopt a 'light touch' approach, with decisions prepared by officials.
UK Market Predictions
- Liz Truss's energy plan, tax cuts, and the Bank of England's quantitative tightening will increase government debt.
- This could lead to falling bond prices, rising yields, and higher borrowing costs, impacting UK growth.