Covid 19 coronavirus: Queen to trim costs as virus dents income

The Queen and the Royal Family are facing a financial shortfall, courtesy of Covid-19. Photo / AP

Britain's Queen Elizabeth II and her family are facing a £35 million (NZ$68m) hit from the coronavirus pandemic, partly because of a shortage of tourists, the monarch's money-manager says.

Releasing the royal household's annual accounts on Friday (UK time), Keeper of the Privy Purse Michael Stevens said a lack of income from visitors to royal buildings was likely to bring a general funding shortfall of £15m over three years.

He said the impact of the pandemic was also likely to cause a £20m shortfall in a 10-year, £369m programme to replace antiquated heating, plumbing and wiring at Buckingham Palace, the Queen's London home.

Officials have said the palace's ageing infrastructure, which had its last major upgrade after World War II, is at risk of a catastrophic failure if it's not replaced.

Stevens said the royal household would not ask for more government money but would "look to manage the impact through our own efforts and efficiencies".

Buckingham Palace has already introduced a staff pay freeze and a halt to hiring.

The accounts show the monarchy cost British taxpayers £69.4m in the year to the end of March, an increase of £2.4m on the previous financial year.

The accounts also show that Prince Harry and his wife, Meghan, paid an undisclosed sum to reimburse the public purse for rent and refurbishment of their Frogmore Cottage home near Windsor Castle.

The exact sum will appear in next year's accounts. The renovation costs alone for the home were £2.4m.

Harry, 36 and the former Meghan Markle, 39, married at Windsor Castle in May 2018. The couple announced early this year they were quitting royal duties and moving to North America, citing what they said was the unbearable intrusions and racist attitudes of the British media.

They recently bought a house in Santa Barbara, California.

Harry and Meghan signed a lucrative deal this month to produce nature series, documentaries and children's programming for streaming service Netflix.

-AP