Princess Diana’s divorce from Prince Charles officially ended their marriage in 1996, but it didn’t mean Diana suddenly lost all connection to royal life.
The settlement changed her title and financial arrangements, while also allowing her to remain at Kensington Palace and continue raising Prince William and Prince Harry. So, what exactly did Diana walk away with when the divorce became final?
Princess Diana Kept Kensington Palace As Her Home
Princess Diana continued living at Kensington Palace in London after her divorce from Prince Charles was finalized on August 28, 1996. Apartments 8 and 9 remained her primary residence and office base, allowing her to stay in the royal surroundings that had already become home to her and her sons.
Diana also maintained a smaller group of trusted personal staff, including a cook and dresser. Kensington Palace therefore remained more than simply her residence. It became the base from which she managed her private office, public commitments and increasingly independent life outside her marriage.
Diana could also use the state apartments at St. James’s Palace for official functions. Although the divorce formally separated her from Charles, these arrangements allowed her to continue carrying out prominent public engagements while maintaining some practical links with the royal establishment.
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Diana Received A £17 Million Divorce Settlement
Money formed another major part of the agreement. Diana reportedly received a lump-sum payment of around £17 million, equivalent to roughly $22.5 million at the time. Instead of receiving regular alimony or continuing spousal support, she accepted the substantial one-time payment.
Diana also received an annual allowance of around £400,000 to cover the costs of running her private office. The arrangement gave her the financial resources to maintain staff and manage her public life following the divorce.
Other privileges reportedly remained available to Diana as well. She continued to have access to pieces from the royal family’s jewelry collection and could use British royal family and government air transport under the agreed arrangements.
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Diana Lost Her HRH Style But Shared Responsibility For William And Harry
One of the biggest changes involved Diana’s royal status. She lost the style “Her Royal Highness” following the divorce but remained officially known as Diana, Princess of Wales. Her position as the mother of Prince William, a future king, ensured that she remained closely connected to the monarchy despite no longer being married to the then Prince of Wales.
The divorce did not separate Diana from her sons either. She and Charles shared responsibility for raising Prince William and Prince Harry, with Diana retaining equal custody and an active role in their upbringing.
Diana continued living at Kensington Palace until her death in 1997. Her post-divorce arrangement ultimately reflected her unusual position at the time: she was no longer an HRH or Charles’s wife, yet she remained the Princess of Wales, the mother of two princes and one of the most recognizable figures associated with the British royal family.
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