Queen Elizabeth announces ‘period of transition’ for Prince Harry and Meghan

After the palace summit, the queen said she is “entirely supportive” of Prince Harry and Meghan’s decision to step back as senior members of the British royal family.
6:20 | 01/14/20

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Transcript for Queen Elizabeth announces ‘period of transition’ for Prince Harry and Meghan
We turn to the royal crisis overharry and Meghan. After the extraordinary summit at the queen's home she released a statement giving her blessing for the couple to transition to a different role but adding that there is some more work to be done on these, quote, complex matters. James Longman is at Buckingham palace with all the details. Good morning, James. Reporter: Yeah, good morning, George. A big day for the royal family. William, Charles, the queen and the queen admitting it's not what she wants but it seems she's willing to make her grandson happy. Reshaping Britain's monarchy, three princes finish their discussions with their queen but the summit was a personal family drama. A brother and grandson charting a new path. Would Harry get the permission he needed for a new life with Meghan? It was thought the duchess would join on a call from Canada but the palace says the sussexs didn't feel it was necessary. The queen out with an unusually personal statement after 2 1/2 hours of meetings behind closed doors, it's not what she wants but permission is granted. The 93-year-old saying my family and I are entirely supportive of Harry and Meghan's desire to create a new life as a young family. Although we would have 3r50e6red them to remain full time working members of the royal family we respect and understand their wish to live a more independent life as a family while remaining a valued part of my family. It's historic for the queen to send a message like this because you really feel it's coming from her as the grandmother of a family recognizing in this modern world that individuals have their own paths to follow. Reporter: Queen Elizabeth striking a grandmotherly tone not using royal titles to refer to the couple but simply Harry and Meghan. The queen also addressing the couple's plans to become financially independent. Harry and Meghan have made clear they do not want to be reliant on public funds this their new lives. It's therefore been agreed there would be a period of transition in which the sussexs will spend time in Canada and the uk. At the heart of all this perhaps the differences between two once close brothers. Queen Elizabeth, of course, no stranger to family strife as seen in the TV show "The crown." I cannot allow to you marry Peter and remain part of this family. Reporter: The show reimagining history but the relationship between the queen and her sister Margaret could be difficult at timesment the age old issue of the heir and the spare, Margaret's romantic relationships required approval from her sovereign but when it's your sister tensions can run high. The parallel with today's drama are clear. A brotherly bond tested to its limit. So the queen may well understand how Harry feels but there is a lot to work out. The couple going to keep their titles? Where are they going to live and who will pay for them? There is a lot to work out. As I say the queen wants all this to be done in the next few days. James, thanks very much. Let's talk to Tina brown who wrote a biography of princess Diana. Welcome back to "Gma." The queen gave her provisional blessing, I guess, she weighs every word so carefully and calls them Meghan and Harry not the duke and duchess. She's keeping all her options open. First she wants to communicate. This is a warm family thing because that also calms things down, makes her the peacemaker, makes her the person who works it all out but a lot of things have been left on the table and they will take time and her advisers will weigh in and be the hard cops I think on what is going to happen on the financial front? That's what I wanted to ask about. How much does it come down to money and if they get financial Independence can pursue some private businesses does that mean they'll get cut off from the queen's fund. Everyone has to address. What kind of business they want to do. I mean, it has never worked when members of the royal family have tried to pursue these kind of half in, half out deals because things boomerang and the press go crazy and as we've seen in all of the people who raise money with foundations even, suddenly, you know, U.S. Funny money. Suddenly you find this big grant you got were from Saudis who do appalling things or from oligarchs who suddenly are arrested so this is an area that's really fraught and so there will be so much monitoring of what they are allowed to do, I'm not sure how much freedom they'll get to perceive the independent interests. Well, but that's the question. You say they might not have freedom but what is the leverage the queen has. It's her fund. The queen's leverage is that. She has -- prince Charles has a lot of leverage. He's giving them $2.5 million a year from his private funds. There is the whole cost of security which is astronomical and the question is, if the British public are really going to be funding that security as they -- by going all around the world and not continually meeting round the clock surveillance all over the world that's going to become controversial and that will be a lot of protest. We've heard the queen and Harry had something of a special, warm relationship. But she seemed to be really blindsided by this. Look, I mean I think she was definitely extremely unhappy about the way this announcement happened. I mean she didn't know they were all in these talks and I think when this picture was released before Christmas with the queen with prince Charles and, you know, Harry -- William and baby George, I think that was a message to say, we're actually solid here. There was no picture there of Harry and Meghan. So they've known for some time that this thing was really going in that direction. But, you know it's a bit like suddenly being in the middle of any kind of job negotiation and dump it out on Instagram. I think she was absolutely blindsided because it hasn't yet been resolved and she was upset but at the same time she was also upset apparently about the massive backlash they got because she doesn't need Harry to be trashed. I mean at the end of the day Harry -- yeah, he's also the second most popular person in the royal family and, you know, his marriage to Meghan was embraced as the new face of England, 7% of England has biracial marriage and they don't like the idea that somehow it can't be worked out, that, you know, you join the royal family and, bam, at warp speed it's gone. They want it wrapped up quickly thank you. Nice to see you. Coming up, NIK Wallenda, the king of the wire standing by

This transcript has been automatically generated and may not be 100% accurate.

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