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Some of the government's executive authority is theoretically and nominally vested in the Sovereign, and is known as the Royal Prerogative. The monarch acts within the constraints of convention and precedent, only exercising prerogative on the advice of ministers responsible to Parliament, often through a body called the Privy Council. In practice, prerogative powers are only exercised on the Prime Minister's advice—the Prime Minister, and not the Sovereign, exercises control.
And as far as my idle speculation on the corruption of the Monarchy with the British Govt. and Intelligence services - I think one needs go no farther than the evidence revealed in the Diana Inquests of late.
Of course I cannot present this or that "smoking gun" for you - but need I really do so.