Soaring inflation has hit the finances of the British royals, pushing up expenditure, Buckingham Palace said on Thursday, as it revealed King Charles III had ordered the heating in royal homes to be turned down to cut emissions.

The annual Sovereign Grant report, which details the royals' taxpayer-funded spending and income, detailed that the monarch said thermostats should be turned down to 19 degrees Celsius to cut greenhouse gas emissions, in keeping with his long-term environmental campaigning.

"You will not need me to remind you that this reporting period relates to a year in which inflationary pressures saw the price of many goods and services increase significantly for all organisations, in particular with regards to the cost of fuel and energy," said Michael Stevens, the royal treasurer.

The last year has been one of the busiest for the royal family in generations, with celebrations for Queen Elizabeth's 70th year on the throne last June, followed by her death in September and the coronation of King Charles in May.

The report said $2 million had been spent by the royals on the queen's funeral and related events. The British government said in May it had cost an estimated $200 million overall, which includes the cost of policing and security.

Royal spending rose by 5 percent, while the Sovereign Grant – based on surplus revenue from the Crown Estate, a property portfolio belonging to the monarchy, remained at the same level, with additional income falling slightly.

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Stevens said gas and heating emissions had fallen 19 percent, partly driven by the king having the thermostats turned down, and a 43 percent decrease in travel emissions.

Critics of the royals said the monarchy cost far more than the report suggested.

"The royals have long hidden their true cost, which we have worked out to be….enough to pay for 13,000 new nurses or teachers," said Graham Smith, chief executive of campaign group Republic.

Stevens also disclosed that Charles' younger son Prince Harry and his wife Meghan had vacated their Frogmore Cottage home on the Windsor Castle estate and had paid back all taxpayer-funded spending on the property, "leaving the Crown with a greatly enhanced asset."

He declined to comment on Prince Andrew's use of Royal Lodge, the property within the Windsor estate which newspapers have said the king would like his younger brother to vacate.

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