New move to unveil royal cash secrets

Secrets of the royal family's finances could be revealed in a government shake-up of disclosure laws, it emerged today.

Ministers are preparing to widen the scope of the Freedom of Information Act to cover bodies which have so far been excluded.

MPs and the public will be asked to nominate organisations they think should disclose secrets.

Top of the list for many will be the royals, who face questions over their tax breaks and the lavishness of their lifestyles. Courtiers are expected to fight to preserve secrecy.

The Lord Chancellor, Lord Falconer, will publish a consultation paper within months, Whitehall sources say. Privatised utility companies and firms working on public-sector contracts will also face demands for greater openness, as will town halls, with a strong chance that the Act will be extended to cover the work of local government auditors.

Since last month, the public has been entitled to see a huge range of documents held by the Government and more than 100,000 public bodies including hospitals, schools, police and the armed forces.

But a few public organisations remain outside the Act's scope, including the security services, the special forces and the royals. Labour MP Alan Williams called today for the royal family to be forced to disclose more information about Civil List payments and the income from key holdings including the Crown Estates, Duchy of Cornwall and Duchy of Lancaster.

He said: "Clearly we would like to have as much access as you would have to any government department."

The Campaign for Freedom of Information also said it would call for the royals to be taken into the scope of the Act.

The royal finances came under scrutiny on Monday when a Whitehall spending watchdog complained that he was barred from scrutinising two key royal estates.