Welsh government group explores Crown Estate takeover
© Adobe Stock A new working group set up by the Labour-run Welsh government has had its first meeting, exploring ways of exerting control over the Crown Estate’s land in Wales and redirecting revenues to the government’s own coffers.
The Crown Estate controls extensive sections of the Welsh coastline and seabed, as well as more than 20,000ha of common land.
Its substantial income goes to the UK Treasury and the monarchy, not to the Welsh government, amounting to almost £9m in 2020-21.
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In a statement, the Welsh government said: “We have consistently called for the devolution of the Crown Estate throughout this parliament, as decisions about Wales should be made in Wales.
“Our view remains that if we had control over the land, the money raised would stay in Wales and support communities across rural and coastal Wales.”
All 22 Welsh councils and the Independent Commission on the Constitutional Future of Wales have backed devolution of the Crown Estate.
A Crown Estate spokesman said: “The Crown Estate is focused on working with the Welsh government and local authorities to deliver positive outcomes for Welsh communities.”
Revenue
The Crown Estate said it receives £69,000 per annum from Welsh common land, which reflects income from tenancies, licences, and other agreements.
Three access licences are in place in Wales at £360/year, with charges applying when farmers require formal licences to cross land under Crown Estate ownership.
There has been significant growth in the asset value of the Crown Estate in Wales, driven by the development of offshore wind in Welsh waters, raising the Estate’s value from £96m in 2020 to £853m in 2023.
Changing the rules
While it is understood that the UK government has so far rejected calls to devolve the Crown Estate to Wales, the Crown Estate (Devolution to Wales) Bill is making its way through Parliament, awaiting its third reading in the House of Lords.
Introduced by Plaid Cymru peer Dafydd Wigley in September 2024 as a private members’ bill, it seeks to hand over that power to the Welsh government. It draws on the precedent set by the UK government in devolving the Crown Estate to Scotland via the Scotland Act 2016.
Plaid Cymru energy spokesperson Llinos Medi said: “Every single local authority in Wales has backed the devolution of the Crown Estate, and the Welsh Labour government supports it too.
“Yet the UK Labour government continues to block progress.”
Wales, she added, should not be held back by Labour’s “internal squabbles”, especially when there is “such overwhelming consensus in Wales that control over our natural resources should be devolved”.
How things operate in Scotland
The responsibility for managing the Crown Estate’s assets in Scotland has been devolved since April 2017.
The Scottish Crown Estate is a diverse mix of rights and assets, including seabed, coastline, rural estates and urban assets. The four rural estates total 35,000ha.
Between 2020 and 2024 Crown Estate Scotland has delivered £244m of net revenues, which it has passed to the Scottish government to support public spending.
A Scottish government spokesperson said: “Transferring powers over the revenue and management of Crown Estate resources in Scotland to the Scottish government has meant decisions on these significant assets are now taken in Scotland for the benefit of communities across the country.”