Exiting royals Harry and Meghan will no longer use their HRH titles or receive public funds for royal duties.
The couple will also pay back about 2.4 million pounds in taxpayers’ money for the refurbishment of Frogmore Cottage which will remain their home while in the UK.
Buckingham Palace announced details of the sensational royal split, dubbed ‘Megxit’ by the British press, which will take effect in the UK spring.
A statement from the Queen said the agreement came after “many months of conversations and more recent discussions”.
“Harry, Meghan and Archie will always be much loved members of my family,” the Queen said in the statement.
“I recognise the challenges they have experienced as a result of intense scrutiny over the last two years and support their wish for a more independent life.”
The statement said the Queen was “pleased that together we have found a constructive and supportive way forward for my grandson and his family”.
“I want to thank them for all their dedicated work across this country, the Commonwealth and beyond, and am particularly proud of how Meghan has so quickly become one of the family.
“It is my whole family’s hope that today’s agreement allows them to start building a happy and peaceful new life.”
Buckingham Palace said the couple would step back from royal duties which included official military appointments.
“They will no longer receive public funds for royal duties,” the statement said.
“With the Queen’s blessing, the Sussexes will continue to maintain their private patronages and associations.
“While they can no longer formally represent the Queen, the Sussexes have made clear that everything they do will continue to uphold the values of Her Majesty.
“The Sussexes will not use their HRH titles as they are no longer working members of the Royal Family.”
Harry, 35, and American former actress Meghan, 38, earlier this month announced they wanted to step back as senior royals and spend more time in North America, while also becoming “financially independent”.
Since that revelation on Instagram, the Queen and her family have been working out with officials how this stepping back would work in practice.
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