HC Deb 24 July 2002 vol 389 cc1177-8W
Norman Baker

To ask the Chancellor of the Exchequer what mechanism is in place to distinguish between gifts received by(a) the Queen and (b) other members of the royal family in (i) their official roles and (ii) their private capacities; what rules govern the receipt of gifts donated to members of the royal family in their official capacities; and whether such gifts are exempt from taxation. [65160]

Mr. Gordon Brown

[holding answer 2 July 2002]: Gifts are categorised as official if given during an official engagement or in connection with the official role or duties of a member of the royal family.

Gifts received in an official capacity are not taxed because they do not belong to the individual members of the royal family. Gifts received in a private capacity are treated by members of the royal family in the same way as gifts received by anyone else. The normal inheritance tax and lifetime transfer rules would apply to such gifts subject to the arrangements for Her Majesty and the Prince of Wales set out in the Memorandum of Understanding in the Royal Trustees report (HC464) published on 11 February 1993.

Records are kept of official gifts received by the Queen and where they are stored. Other members of the royal family follow similar practice. Gifts received by any member of the royal family in a private capacity are not listed in official records.

Norman Baker

To ask the Chancellor of the Exchequer what public funds were expended in 2001 on gifts given by(a) the Queen and (b) other members of the royal family in their official roles. [65161]

Mr. Gordon Brown

[holding answer 2 July 2002]: The cost of official gifts given by Her Majesty the Queen and other members of the royal family in 2001 amounted to £36,783 and £11,071. respectively.