Why the Crown Estate’s profits plunged as returns to Treasury are cut
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The Crown Estate‘s operating profits slumped to £1.2 billion in the year to March, down from £1.4 billion, primarily due to a reduced boost from offshore wind.
As a result, the amount of money being handed to the Treasury has been cut by more than half.
Revenue account profit also tumbled to £487 million from £1.1 billion.
Despite the profit drop, the net asset value of The Crown Estate increased to £16.7 billion from £15 billion, driven by a rebound in property values.
Profits from its marine operation (excluding the impact of wind farm option fees) rose to £175 million, while real estate and development profits increased to £258 million, boosted by the West End.
