A row has erupted between the SNP and the London-based press over claims by a Buckingham Palace source that Scotland would cut £2.2 million-a-year in funding for the monarchy if further devolution plans went ahead.
In briefings several Fleet Street papers including The Times, Telegraph and Daily Mail, the Palace claimed that if Scotland took control of its Crown Estates north of the border there could be a serious shortfall in Royal revenues.
But both the UK and Scottish governments strongly denied the allegations, and said devolution would not have any negative impact on Holyrood meeting its legal and constitutional obligations.
The denials sparked outrage from many SNP supporters, some dismayed that the story was not, in fact, true.
A spokesman for Her Majesty's Treasury said the sovereign grant would not be "adversely affected" by devolution.
A Scottish Government spokeswoman added: "Scotland will continue to make the same financial contribution to the monarchy as at present - there will be no reduction in the sovereign grant as a result of devolution of the Crown Estate."
One royal aide reportedly said negotiations were continuing between Westminster and Holyrood over financing, and said Scotland would continue to make contributions to the British monarchy, even if the profits from crown assets were not returned south of the border.
An SNP MP was quick to rubbish the allegations in the newspapers, insisting any claims Scotland would not pay its contribution to The Queen were "bogus".
Neil Gray, who represents the constituency of Airdrie & Shotts, re-tweeted a rebuttal of the accusation.
Dearly me. This is an utterly bogus story. Royal finance is reserved & NOT funded out of Crown Estate revenue. pic.twitter.com/uZw5U6zw4l— Andy Wightman (@andywightman) June 23, 2015
His post stoked outrage from disappointed SNP supporters keen to see the Crown Estate funding cut.
@andywightman And here I was enjoying the story!— Joe Sarling (@joesarling) June 23, 2015
@andywightman still like the idea in the headline!— Gerard Boyd (@dundee8cologne1) June 23, 2015
We pay her family £202.4MILLION a year (& £150MILLION on Buckingham Palace repairs) whilst 13MILLION live in poverty. pic.twitter.com/tEqpQMkMjz— George Aylett (@GeorgeAylett) June 24, 2015
The Telegraph published an article just three days prior to Wednesday's splash, which began: "The Queen will not face any cuts to royal finances for at least another two years despite an 11 per cent increase in her income, The Telegraph has learnt."
Media outlets were criticised on Twitter for running a story outrightly denied by the UK and Scottish governments.
@andywightman The Times lying their arse off, or haven't a clue what they are talking about.....stirring it as usual.— Casper (@Casper10666) June 23, 2015
@andywightman The Times of London lying about the colonies, surely not!— Donald Urquhart (@PeskyScot) June 23, 2015
@andywightman Crikey. It's no wonder that an increasing number of people don't believe what they read in the newspapers.— Robert Paul (@rpauldesign) June 23, 2015
Neither The Times nor The Daily Telegraph responded to a request for comment by the time this story went live.