The Queen will host today's crucial showdown at Sandringham.
The Queen will host today's crucial showdown at Sandringham.
As the royals meet at Sandringham today for a crunch summit to decide the Duke and Duchess of Sussexes' future, the couple's tax affairs will be under discussion along with their royal titles, Met Police bodyguards and their Windsor home, Frogmore Cottage.
Aides are understood to have already drawn up a potential blueprint for Harry and Meghan's new life in North America, but with "complicated issues" still to be resolved, the Queen's desire for a swift resolution is by no means guaranteed.
While the 93-year-old monarch wants the situation sorted by close of play on Tuesday, sources close to the Sussexes say they "are not going to quickly sign off their future and their lives".
Well-wishers cheered the monarch as she made her weekly trip to a church at her Sandringham estate in eastern England on Sunday.
Later on Monday, the Queen, the Prince of Wales, the Duke of Cambridge and the Duke of Sussex will be presented with "a range of possibilities for the family to review". The Duchess of Sussex, who is currently in Canada with baby Archie, is hoping to join by phone, time zones permitting.
Queen Elizabeth II leaves after attending a morning church service at St Mary Magdalene Church in Sandringham. AP Photo / Joe Giddens
Titles
Indicating that any master plan "will take into account the thinking The Sussexes outlined earlier in the week," it seems highly unlikely the couple will be stripped of their HRH status, although according to their friend ITV News anchor Tom Bradby: "They appear philosophical about the prospect of losing their titles and becoming, in the end, entirely self-funded."
Funding
Stressing that "any decision will take time to be implemented," aides have hinted that they could come up with a 'phased' agreement which sees the Sussexes "transition" to re-calibrated roles outside of the Royal Family once they become fully self-funding. This would see them come up with an interim 'costing' for Duchy of Cornwall funding, which could be reduced over time.
Tax
Insiders say a solution that was "compatible with taxpayers, compatible with reality and compatible with the Queen" is being sought.
Should the couple decide to split their time between Britain and overseas and retain full, active Royal roles then they could face a potential 'double tax' on any commercial income.
Canada requires anyone who spends 183 days or more in the country to pay income tax on their global earnings. Similar rules apply in the UK, but the limit is 90 days.
British newspapers' coverage of Prince Harry and Meghan's shock decision.
As an American citizen, Meghan already has to pay tax in the US on any global earnings regardless of where she lives. Discussions are likely to include whether the former actress wants to continue with her application for dual citizenship, the status of which is currently unknown.
Frogmore Cottage
A full relocation to North America and relinquishing of royal roles would avoid the double taxation but may land the couple with a large bill to repay the £2.4 million of taxpayers' cash spent on Frogmore Cottage.
If the couple wants to retain the Grade II listed property as their UK base then the Crown Estate, which owns the freehold, could offer to lease it back for an agreed annual sum.
Future royal role
Sir Mark Sedwill, head of the Civil Service, has been drawing up plans to offer Harry and Meghan a high profile Commonwealth role, which would allow them to live in Canada and travel abroad on a certain number of official trips each year - allowing them to be 'quasi' royals. Harry is already the president of The Queen's Commonwealth Trust, while last year Meghan was made vice-president - and it is a cause close to the Queen's heart.
But a source warned this 'half in half out option' which would see the royals promote their charitable endeavours as well as their commercial interests as "very difficult to pull off".
It remains to be seen whether they would still attend major royal events such as Trooping the Colour or need to seek permission for commercial endeavours. Patrick Jephson, the former private secretary to Diana, the late Princess of Wales, questioned whether British embassies would be instructed to support the couple and what level of cooperation would be offered by law enforcement and intelligence agencies.
Security
On security, Dai Davies, the former head of royalty protection dubbed an idea to down grade the couple's armed protection to officers carrying Tasers as "nonsensical". Another option would be to reduce the number of tax-payer funded protection officers and top them up with private bodyguards, paid for by the couple.
