In recent days, the Royal Household has been at the center of controversy. The focus of attention has been the state of its accounts at the close of fiscal year 2024. There was even talk of financial losses.
Rumors pointed to a deficit of nearly €100,000. This figure raised alarms and caused numerous criticisms. However, Zarzuela Palace has decided to intervene and clarify the situation.
Zarzuela Palace responds firmly to the rumors
The institution has explained in detail what's behind the numbers. It assures that there is no such deficit in the actual balance of the Crown. They state that last year's accounts closed with a surplus of €138,304.
The supposed deficit of €99,591 actually corresponds to the economic equity result. This figure doesn't reflect the cash flow or the direct management of the budget. It's an accounting figure influenced by amortizations, revaluations, and funds used from previous years.
From Zarzuela, they explain that they used €2.48 million from their own funds. This investment was allocated to digital transformation. However, since it wasn't recorded as new income, it was shown as an accounting loss, although not a real one.
What the 2024 economic balance really says
King Felipe has authorized a statement to dispel any doubts. In it, there's a clear distinction between the economic equity result and the budgetary result. The Royal Household closed the year with a positive balance, thanks to good management of its resources.
There were no liquidity problems at any time. On the contrary: at the end of 2024, there were about €4.94 million ($5.36 million) in cash. These funds were deposited in the Bank of Spain as available surplus.
The Palace emphasizes that the digital investment was necessary. Resources were allocated to new computer equipment and the creation of an audiovisual studio. All within the modernization plan promoted by the monarch himself.
Total transparency in the Royal Family's expenses
In addition to the general balance, the breakdown of personal allocations has been published. King Felipe received a total of €277,361 ($301,000) in 2024. Queen Letizia received €152,539 ($165,000).
In total, allocations to the Royal Family amounted to €554,714 ($602,000). Queen Emerita, Doña Sofía, also continues to receive her annual remuneration, which reaches €124,814 ($136,000). Princess Leonor and Infanta Sofía don't have an official allocation.
Since 2021, the total budget of the Royal Household has been €8,431,150 ($9.16 million). This figure will remain frozen until at least 2026. King Felipe has insisted on keeping spending contained.
Zarzuela Palace considers this publication an exercise in transparency. Its goal is to dispel speculation and strengthen trust in the institution. They also want to make it clear that there hasn't been malpractice or management errors.
In short, the deficit that has caused so much noise is nothing more than a technical difference in the accounts. The actual result was positive and allowed for continued internal improvements. This way, King Felipe sets a firm course toward modernization and total transparency.