A coffee for the crown: The cost and worth of the Belgian Monarchy

A coffee for the crown: The cost and worth of the Belgian Monarchy
Queen Mathilde of Belgium and King Philippe. Credit: Belga/Bruno Fahy

The value of the crown in the 21st century has been up for debate for years. In 2023, the royal cost in Belgium made headlines as their dedicated budget was reported to increase by over one million.

This year, the Belgian monarchy is set to cost the country around €43 million, just under €4 – or a cappuccino – per Belgian inhabitant. But what does the monarchy bring in return for your caffeine fix?

The total cost of the monarchy for 2024 is €43,275,000, according to the latest data from the federal budget.

The heftiest portion of the budget is reserved for the Civil List. These are the resources made available to the King so that he could carry out his function as Head of State. The amount is set at the beginning of each reign and in 2013, the Civil List was fixed at €11,554,00. However, it is regularly adjusted to the cost of living index, and currently stands at €14,896,000, according to the latest data.

Though the Monarchy of Belgium gives a general idea of what these funds cover – such as vehicle costs, staff, anniversary gifts, and building maintenance – there is no publicly accessible breakdown of the allocation of the Civil List funds.

"That’s a secret," says Pierre De Vuyst, a journalist who has covered royal affairs for over two decades. "Officially we don’t know what he is doing with his money."

Where there is more clarity in terms of expenses is with endowments. As former Head of State and as active members of the royal family, former King Albert II, Princess Astrid, and Prince Laurent, respectfully, are all entitled to this yearly State grant. This is divided into two parts, namely remuneration, which is subject to income tax, and operation and staff fees, which are subject to the supervision of the Court of Audit.

Data: BOSA. Credit: The Brussels Times

Albert II will be entitled to his yearly endowment of €923,000 for life. The Crown Princess Elisabeth has also been entitled to this grant as of her 18th birthday, though she voluntarily gave it up for as long as she continues studying.

The rest of the costs within the budget cover various other activities of the royals, including transportation, staff salaries, grants for foundations, or Palace maintenance, for example.

The 'Aura' factor

Though the value of the monarchy is yet to be numerically quantified, the royals have proven their worth over the years, according to De Vuyst.

"The most important value is the aura of the Monarchy," says De Vuyst. For the journalist, the 'magic' of the Monarchy and the visibility associated with it are crucial for a small country like Belgium, politically and economically.

"I saw a formal Minister-President of Flanders, maybe ten or 15 years ago, and he was going on his own to China with an economic delegation [...] He was welcomed by a junior minister in China, not the head of the country," recalls De Vuyst. When the King is present, however, the scenario is different.

"The head of the state is there, always. President Xi was there with a lot of senior ministers and maybe the most influential businessmen of the country," says De Vuyst. "The value for our businesses is precious," he emphasises.

"Of course, I think the president of a big country, like France, can have the same impact for sure," De Vuyst admits, "but for a small country, you have this."

Belgium King Philippe and Chinese President Xi Jinping during a royal visit to China in 2015. Credit: Belga

Along with the business benefits,  the long-term role of a Monarch allows for crucial contacts to be made. "A president is elected for five years, maybe two times [...] a king is there working for decades, and can develop a big address book," explains De Vuyst.

To illustrate his argument, De Vuyst points to King Philippe’s role in guaranteeing access to masks in Belgium during the Covid-19 pandemic: "Our King had a call with the CEO of Alibaba and suddenly [...] there were masks."

The journalist further recalls how Philippe’s close relationship with the Sultan of Oman facilitated the release of a Belgian hostage in Iran; "the impact of our king was essential," says De Vuyst.

More locally speaking, De Vuyst says that the political neutrality expected from the King benefits national politics: "He can have an important political role also during the election time,” he says. "All political people can have a frank conversation with the king and it is totally secret [...] he can put people together and make the negotiation a success."

And of course, with the Monarchy comes the palaces and events that De Vuyst believes help put Belgium on the map: "The royal family contributes to the influence and reputation of our country by highlighting causes or activities through its presence, exhibitions or events. There is always more visibility with them."

L-R: Princess Eleonore, Prince Gabriel, Queen Mathilde of Belgium, King Philippe of Belgium, Crown Princess Elisabeth and Prince Emmanuel pictured during the military and civilian parade on the Belgian National Day in Brussels, Friday 21 July 2023. Credit: Belga / Laurie Dieffembacq

Not all will agree that a Monarchy will ever be worth any public money, particularly during a cost-of-living crisis with many facing the heightened risk of poverty.

Political parties endorsing the abolishment of the Monarchy have argued their position citing unfair allocation of funds and the undemocratic nature of having a royal family.

According to the latest electoral programmes, only the Flemish nationalist parties Vlaams Belang and N-VA make a point of wanting to put an end to the royal family's role in the country. Though according to De Vuyst, this is likely not so much about ending the monarchy but more about wanting change and the independence of Flanders.

Regardless, while some will remain critical of the royals' role, for others, their benefits are worth the coffee-to-go fee.

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