The couple is said to believe that King Charles deliberately stalled the process due to tensions over their HRH titles.
Meanwhile, insiders say Prince Harry’s strained relationship with King Charles and Prince William is beyond repair, with both parties unwilling.
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The Sussexes Suspected King Charles Delayed Archie And Lilibet’s Passports Over HRH Title Dispute

It was reported that Harry and Meghan suspected King Charles intentionally delayed approving their children’s British passport applications. This alleged delay was believed to be linked to the ongoing tensions over the use of their HRH titles.
As per The Guardian, the Duke and Duchess of Sussex waited for almost six months for the passports, which was significantly longer than the usual processing timeframe of three weeks. The couple felt that the approval process had been purposely obstructed by the king.
When applying for the passports, the couple used “Sussex” as the surname for Archie and Lilibet, as part of their decision to move away from the traditional Mountbatten-Windsor name. A source with knowledge of the situation stated that there seemed to be a reluctance to issue passports for the children.
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The insider added that Charles, 76, “hadn’t wanted Archie and Lili to carry the titles, most of all the HRH, and the British passports, once created, would be the first and perhaps the only legal proof of their names.”
Despite these claims, palace officials have strongly denied any interference by the King. The initial delay was reportedly blamed on unspecified “technical issues.”
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Prince Harry And Meghan Went To Great Lengths To Get Their Children’s Passports Approved

Frustrated by the holdup, Harry and Meghan allegedly filed a new request through the UK’s urgent 24-hour fast-track passport service.
However, their scheduled appointment was unexpectedly canceled at the last minute, with sources citing a “systems failure” as the cause.
Archie and Lilibet’s passports were eventually approved, but only after Harry and Meghan’s legal representatives sent a forceful letter warning they would submit a data subject access request, according to reports.
A source close to the matter revealed: “Harry was at a point where British passports for his children with their updated Sussex surnames (since the death of Elizabeth II) were being blocked with a string of excuses over the course of five months.”
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The Duke’s Passport Battle For Archie And Lilibet Made Him Consider Adopting The Spencer Surname

This drawn-out ordeal regarding his kids’ passports reportedly led Harry to approach his maternal uncle, Earl Spencer, for advice.
Out of “sheer exasperation,” Harry reportedly “went to his uncle to effectively say, ‘My family are supposed to have the same name and they’re stopping that from happening because the kids are legally HRH, so if push comes to shove, if this blows up and they won’t let the kids be called Sussex, then can we use Spencer as a surname?”
According to the Daily Mail, the duke brought up the idea during a recent visit to the UK, where he had a “very amicable conversation” with his late mother’s brother.
While the discussion was friendly, sources revealed that Earl Spencer advised Harry against “taking such a step.”
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The Future Of Archie And Lilibet’s HRH Titles Amid Sussexes’ Royal Exit

As grandchildren of the reigning monarch, Archie and Lilibet would traditionally be entitled to use HRH titles had they remained active within the royal family.
However, following Harry and Meghan’s exit from royal duties, questions arose over the legitimacy and future use of those titles for their children.
In 2020, after Harry and Meghan’s departure, Buckingham Palace clarified their standing: “The Sussexes will not use their HRH titles as they are no longer working members of the royal family.”
Although not legally barred from using the titles, the couple reportedly promised the late Queen Elizabeth II they would honor the agreement.
However, according to insiders, Harry still wants his children to retain their HRH titles, not for immediate use, but to give them the option later in life to either return to royal duties or continue building their identities independently in the United States.
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Reconciliation Between Prince Harry And King Charles Seems Unlikely, Expert Says

Meanwhile, Harry’s fractured relationship with Charles has reportedly reached an irreversible low point, with insiders suggesting a royal reconciliation is now all but off the table.
Despite maintaining a public silence and being separated from his youngest son by more than 5,000 miles, Charles is said to be emotionally distanced as well.
According to royal commentator Hilary Fordwich, any remaining hope for healing appears to have faded.
“There is no turning back,” she told Fox News. “King Charles remains tender towards his son but can’t risk communication.”
Fordwich noted that the King’s advisers have made it clear that reconciliation “would burden Prince William’s future reign.”
She added that “Prince William now has absolutely no interest in mending fences.”
“The animosity is so deep that William has shut the door on Harry. Charles is not willing to go against his heir’s wishes,” Fordwich explained.