The Crown Estate Owns the UK Seabed
If you want to build an offshore wind farm or lay a submarine cable in the UK, you have to pay the Crown Estate. They own the entire seabed out to the 12-nautical-mile limit.
The Crown Estate is one of the largest property managers in the United Kingdom, holding assets worth over £16 billion. While most people know they own Regent Street and large swathes of central London, their most lucrative asset is actually underwater.
Ruling the Waves
The Crown Estate owns virtually the entire seabed around the UK out to the 12-nautical-mile territorial limit. This isn't just a historical quirk; it is a massive revenue generator. If an energy company wants to build an offshore wind farm, they must lease the seabed from the Crown Estate. If a telecom company wants to lay a fibre-optic cable to Europe, they pay a fee.
In recent years, the explosion of the renewable energy sector has seen the value of these seabed rights skyrocket, generating hundreds of millions of pounds annually. By law, the profits from the Crown Estate go directly to the Treasury, with a percentage (the Sovereign Grant) given back to the Monarch to fund their official duties.