Prince Harry and Meghan, the Duke and Duchess of Sussex, will no longer use their royal titles or receive public funds for royal duties, and will repay millions of dollars in taxpayer money used for refurbishing their home in Windsor, the Buckingham Palace announced on Saturday.
The deal comes just 10 days after the couple announced they will step back as senior members of the Royal family and split their time between the United Kingdom and North America.
"As agreed in this new arrangement, they understand that they are required to step back from Royal duties, including official military appointments. They will no longer receive public funds for Royal duties," the Buckingham Palace said in a statement.
"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 couple intends to repay £2.4 million in taxpayer money for the refurbishment of Frogmore Cottage, which will remain their U.K. family home, the Palace said.
The agreement takes effect later in the spring.
"Following many months of conversations and more recent discussions, I am pleased that together we have found a constructive and supportive way forward for my grandson and his family," Queen Elizabeth said in a statement.
"Harry, Meghan and Archie will always be much loved members of my family," she said. "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."