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THE Queen's favourite grandson has confirmed he is divorcing his wife, saying "it's sad but is best for the kids".

Peter Phillips today issued an emotional statement, after The Sun revealed he and wife Autumn would split.

 The Queen, Autumn and Peter Phillips at Ascot in 2018 - they confirmed they are splitting today
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The Queen, Autumn and Peter Phillips at Ascot in 2018 - they confirmed they are splitting todayCredit: Getty Images - Getty
 Autumn once worked for the Canadian intelligence services before marrying into the Royal Family
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Autumn once worked for the Canadian intelligence services before marrying into the Royal FamilyCredit: Getty Images - Getty
 Peter Phillips is said to be in 'total shock' after Autumn said she wanted to separate
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Peter Phillips is said to be in 'total shock' after Autumn said she wanted to separateCredit: Getty Images - Getty
 Peter Phillips and Autumn, pictured with Kate and Wills in 2017, were married in 2008
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Peter Phillips and Autumn, pictured with Kate and Wills in 2017, were married in 2008Credit: Rex Features

A statement issued on their behalf said: "After informing HM The Queen and members of both families last year, Peter and Autumn jointly agreed to separate.

"They had reached the conclusion that this was the best course of action for their two children and ongoing friendship.

"The decision to divorce and share custody came about after many months of discussions and although sad, is an amicable one.

"The couple's first priority will remain the continued well being and upbringing of their wonderful daughters Savannah (nine) and Isla (seven).

"Both families were naturally sad at the announcement, but fully supportive of Peter and Autumn in the joint decision to co-parent their children."

"Both Peter and Autumn have remained in Gloucestershire to bring up their two children where they have been settled for a number of years."

The couple are in the process of divorcing, and Phillip will be the first of the Queen's grandchildren to legally split.

They wed at St George's Chapel in Windsor Castle in 2008, and decided to split last year.

Her Majesty is believed to be “upset” after Autumn, 41, told Princess Anne’s son, 42, she wants to end 12 years of marriage.

Peter is absolutely devastated by this and just didn’t see it coming. He thought he was happily married and had the perfect family with two lovely daughters. But he is now in total shock.

A pal of Peter Phillips

It comes amid fears that the mum of two wants to follow Prince Harry and Meghan Markle to her native Canada.

Close friends are suggesting that Megxit – Prince Harry and Meghan’s departure from the UK to Canada – could have hastened Autumn’s shock decision.

But the statement from the couple suggested both parents would remain in Gloucestershire to raise the children.

Sports marketing consultant Peter, 42, and Autumn, 41, who is a management consultant, have two children – Savannah, nine and Isla, seven.

It is believed the daughters have dual Canadian citizenship which means they could easily live in Canada if Autumn were to return there.

One pal revealed: “Peter is absolutely devastated by this and just didn’t see it coming.

“He thought he was happily married and had the perfect family with two lovely daughters. But he is now in total shock.

“Autumn is a wonderful wife and mother and a very intelligent woman but she’s been telling her friends for some time that there were issues.

“She is a favourite of the Queen and I’m sure Her Majesty will be very upset by this as well.

“It’s the last thing she needs after all her recent troubles and you get the feeling that the Royal Family is falling apart a little bit.”

'ABSOLUTELY DEVASTATED'

Our revelation comes just two weeks after Peter sparked international controversy for advertising milk in China while being promoted as a “British royal”.

Those close the couple have expressed concern that Autumn might want to start a new life in Canada, just like the Duke and Duchess of Sussex have decided.

A friend said: “What worries some of us is that Autumn may want to go back to Canada.

“Maybe she has been influenced by Harry and Meghan’s departure. Perhaps she thought if that can happen then I can leave as well? That might be unfair on her but you have to consider it."

No other party is involved in the split, our sources said.

A pal explained: “Certainly none of us think either Peter or Autumn are involved with anyone else.

“It just seems they have grown apart but it’s come as a bolt out of the blue for Peter and he’s very upset.”

 The Queen was pictured today at King's Lynn station - hours after the announcement
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The Queen was pictured today at King's Lynn station - hours after the announcementCredit: © Paul Marriott
 She put on a brave face after the latest in a string of announcements that have rocked the Royal Family
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She put on a brave face after the latest in a string of announcements that have rocked the Royal FamilyCredit: PA:Press Association
 Peter Phillips, Princess Anne’s son and the brother of Zara Tindall, is to split from his Canadian wife, Autumn
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Peter Phillips, Princess Anne’s son and the brother of Zara Tindall, is to split from his Canadian wife, AutumnCredit: The Mega Agency
 Peter Phillips and Autumn have been married for 12 years and have two daughters together
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Peter Phillips and Autumn have been married for 12 years and have two daughters togetherCredit: Getty Images - Getty
 Peter Phillips and Autumn married at St George's Chapel in Windsor in 2008
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Peter Phillips and Autumn married at St George's Chapel in Windsor in 2008Credit: Getty - Contributor
 Autumn is close to the Queen - the couple are seen with Her Majesty at last year's Royal Ascot race meeting
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Autumn is close to the Queen - the couple are seen with Her Majesty at last year's Royal Ascot race meetingCredit: © Max Mumby

The split is the latest problem for the Royal Family after a disastrous year, which some commentators have branded a second Annus Horribilis.

Prince Philip injured two members of the public in a car crash then fell ill, disgraced Prince Andrew had to step back from royal duties after a catastrophic interview about his friendship with paedophile Jeffrey Epstein and last month The Sun revealed Harry and Meghan were quitting the UK.

A senior royal source said: “The Queen must wonder what she has done to deserve this.

“Peter Phillips has always been a favourite of hers and Prince Philip and she will be crestfallen by this, especially on top of all the other bad news.

“It makes you wonder what’s going to happen next.”

Peter previously dated Elizabeth Lorio, a cod-liver-oil heiress from the US, and BA air stewardess Tara Swain.

He met Autumn in 2003 at the Formula One Grand Prix in her home city of Montreal.

They were both working at the event, but the Canadian beauty had no idea he was the Queen’s grandson until she saw a picture of him on TV six weeks later.

He thought he was happily married and had the perfect family with two lovely daughters. But he is now in total shock.

She later revealed in an interview her mother told her: “Oh, Autumn, what have you gotten yourself into.”

Peter proposed in 2007 after he got permission from Autumn’s father.

Speaking of their engagement, she said: “I certainly didn’t see the question coming.

“I looked horrible in my wellies with wet hair. I said yes straight away though.”

Autumn, raised Catholic, had to convert to Church of England before their wedding in 2008 so Peter could stay in the line of succession, where he is currently 15th.

Peter was accused of cashing in on his family connections by selling wedding photos to Hello magazine for a reputed £500,000.

Over 300 guests saw the couple tie the knot, including Her Majesty and Prince Philip and 70 members of Autumn’s family who jetted in from Canada.

In line with tradition, the pair spent the night before the wedding apart with Autumn occupying Windsor Castle while her future husband stayed with his uncle Prince Edward.

 Close friends are suggesting that Prince Harry and Meghan’s departure from the UK to Canada could have hastened Autumn’s shock decision
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Close friends are suggesting that Prince Harry and Meghan’s departure from the UK to Canada could have hastened Autumn’s shock decisionCredit: Getty Images - Getty
 Peter Phillips sparked international controversy for advertising milk in China while being promoted as a 'British royal'
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Peter Phillips sparked international controversy for advertising milk in China while being promoted as a 'British royal'
 Autumn and Peter Phillips snapped at their engagement announcement in 2007
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Autumn and Peter Phillips snapped at their engagement announcement in 2007Credit: Getty Images - Getty
 The Queen is said to be 'upset' by the news of the split
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The Queen is said to be 'upset' by the news of the splitCredit: AFP

Peter’s sister Zara Phillips was joined by Mike Tindall, who she married three years later, and cousins Princess Beatrice and Prince Eugenie.

Prince Harry was accompanied by then girlfriend Chelsea Davy but Prince William was unable to attend due to a clash with a friend’s wedding in Kenya. Kate Middleton attended without him.

But both William and Harry privately raised concerns that their then girlfriends featured so heavily in the glossy mag’s coverage, which was billed as a “100-page special”.

Peter and Autumn held their reception at nearby Frogmore House and they travelled there in an open carriage pulled by two Windsor Greys.

The venue was offered to them by Queen Elizabeth, which has added to a belief Peter is the Queen’s favourite grandchild.

Following their nuptials the couple, who lived in Hong Kong between 2008 to 2010, went on to have two children Savannah, the Queen’s first great-grandchild, and another daughter, Isla, two years later.

MILK CONTROVERSY

The pair are often referred to as playful tomboys, seen frolicking at horsey events with their royal cousins.

Peter is the son of Princess Anne and her first husband Captain Mark Phillips, and was brought up without a royal title so he could make his own way in the world, just like his sister Zara.

His wedding wasn’t the first time he’s used his royal connections to make money.

Last month Peter caused controversy after he appeared in an advert promoting “Jersey Fresh Milk” in commercials shown on Chinese TV.

Peter is seen holding a glass of milk in front of a stately home with the caption: “British Royal Family member Peter Phillips.”

He boasts in the advert of being brought up on Jersey milk from the herd at Windsor.

Before his milk commercials came to light, he held meetings with Chinese entrepreneur Dr Johnny Hon over a possible launch of a horse-racing private members’ club in Hong Kong.

Dr Hon said his new business partner, who was receiving a salary for his ‘figurehead’ role, was able to ‘meet some potential members’.

Peter also allegedly made money from organising a street party lunch to celebrate the Queen’s 90th birthday, with his firm paid £750,000.

His company SEL UK oversaw the bash in The Mall, when 10,000 representatives of the Queen’s charities paid £150-a-head to attend.

 Peter Phillips proposed in 2007 after he got permission from Autumn’s father
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Peter Phillips proposed in 2007 after he got permission from Autumn’s fatherCredit: PA:Press Association
 One friend says 'Peter is absolutely devastated by this and just didn’t see it coming'
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One friend says 'Peter is absolutely devastated by this and just didn’t see it coming'Credit: Getty Images - Getty
 The split is the latest problem for the Royal Family after a disastrous year
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The split is the latest problem for the Royal Family after a disastrous yearCredit: Getty Images

Another blow to The Firm

By Dan Wootton, Executive Editor

THE Queen is used to her children divorcing, but now the scourge has spread to her grandkids.

And for a woman so set on the concept of marriage being a lifelong commitment for the good of her church and her country, yet another messy and premature break-up will be galling.

It’s also, let’s be blunt, the last thing the embattled monarchy needs right now after 12 months from hell.

Of course, when all that is put to one side there is a very sad personal heartbreak here.

Peter Phillips is the Queen’s beloved oldest grandson and an important figure for The Firm behind-the-scenes who has been close to William and Harry.

Autumn’s decision to ask to separate will be devastating to him, given she was undoubtedly the love of his life and he has been open about being smitten from day one.

Now the royals face the prospect of yet another one of their young families splitting their time between the UK and Canada, Autumn’s homeland where their children have dual citizenship.

Even the suggestion that Autumn might be in some way inspired to follow the lead set by Harry and Meghan to spend more time in Canada will cause fury.

It’s not an exaggeration to say that, at 93, the Queen will feel like she’s watching the disintegration of her once solid family unit.

Peter Phillips, first cousin to Prince Harry, has appeared in a milk advert amid rows over royals using status to make money