Beatrix of The Netherlands - Royal Finances

Royal Finances

The royal palaces are the property of the Dutch state and given for the use of the reigning monarch; While the House of Orange-Nassau possesses a large number of personal belongings, items such as paintings, historical artifacts and jewellery are usually associated with the performance of royal duties and/or the decoration of royal residences. As such, these items have a cultural significance beyond that of simple artworks and jewellery, and have therefore been placed in the hands of trusts: the House of Orange-Nassau Archives Trust and the House of Orange-Nassau Historic Collections Trust. Part of the collection is on permanent loan to Het Loo Palace Museum in Apeldoorn and the Rijksmuseum in Amsterdam. Queen Juliana had sold the remaining royal palaces and had put the cultural assets (paintings, antiques, books, etc.) into non-personal trusts.

The crown jewels, comprising the crown, orb and sceptre, Sword of State, royal banner, and ermine mantle have been placed in the Crown Property Trust. The trust also holds the items used on ceremonial occasions, such as the carriages, table silver, and dinner services. Placing these goods in the hands of a trust ensures that they will remain at the disposal of the monarch in perpetuity. The Royal Archives house the personal archives of the royal family. This includes books, photographs, and artworks, as well as the books of the House of Orange-Nassau and the music library. The library was begun in 1813, following the return of the Orange-Nassaus to the Netherlands. King William I allowed the Stadtholder's library to remain part of the Royal Library in The Hague. The library houses a collection of some 70,000 books, journals and brochures. The music library has 6,000 scores, going back to the mid 18th century.

The Royal House Finances Act (1972) as amended in 2008 sets allowances for the King (or Queen Regnant), the Heir to the Throne, and the former sovereign who has abdicated. Provision is also made for their spouses (and in the case of death, for the surviving spouse). The allowances have two components: income (A-component) and personnel and materials (B-component). Annual increases or decreases are provided for: the A component is linked to changes in the annual salary of the Vice-President of the Council of State; the B-component is linked to changes in civil service pay and the cost of living.

In 2009, the government decided that the annual State Budget of the Netherlands should show in a transparent way all the costs of the Royal House, some of which had previously been borne by various Government Ministries. Three sets of costs are now separately allocated in the annual budget for the Royal House (Budget I of the annual State Budget). These are:

• Allowances paid under the Royal House Finances Act. They comprise the income and personnel and materials components mentioned above.
• Expenses incurred in the performance of official duties. They include costs which had been previously been borne by the budgets of three Government Ministries (Interior, Transport and Water Management, Health and Welfare) and which are now attributed to the Royal budget in the interest of transparency. They also include the costs relating to royal flights and the royal yacht, Groene Draeck.
• Other expenses relating to the management of the royal house. They relate to expenses for the Government Information Service (AZ/RVD) in connection with the royal house, the cost of the Royal Military Household, the Queen's Cabinet and the travel and other costs incurred by royal visits to Netherlands Antilles and Aruba

Costs relating to the security of members of the royal house, state visits, and the maintenance and upkeep of the royal palaces (which are considered to be national monuments) continue to be funded by the budgets of the appropriate Government Ministries and are not included in the budget for the Royal House.

According to the State Budget for 2010, the budgetary allocation for the royal house in 2010 is €39.643 million. There are the following categories of expenditure:

• Allowances paid to the queen, the Prince of Orange and Princess Máxima under the Royal House Finances Act. They total some €7.102 million in 2010.
• Expenses incurred in the performance of official duties. They total some €26.818 million in 2010.
• Other expenses relating to the management of the royal house. They total some €5.723 million in 2010.