“Today my family had very constructive discussions on the future of my grandson and his family,” the statement read.
“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 preferred 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.
The statement continued: “Harry and Meghan have made clear that they do not want to be reliant on public funds in their new lives.
“It has therefore been agreed that there will be a period of transition in which the Sussexes will spend time in Canada and the UK.
“These are complex matters for my family to resolve, and there is some more work to be done, but I have asked for final decisions to be reached in the coming days," she concluded.
In a move that would have made their mother Princess Diana proud - despite the family tensions - the brothers united on Monday to say they are "deeply, deeply unhappy" about claims that William's "bullying" caused Harry and Meghan Markle to quit.
The Duke of Sussex was originally said by a royal source to have felt pushed out of the royal family by his big brother.
"Despite clear denials, a false story ran in a UK newspaper today speculating about the relationship between The Duke of Sussex and The Duke of Cambridge," the statement read.
"For brothers who care so deeply about the issues surrounding mental health, the use of inflammatory language in this way is offensive and potentially harmful."
It followed a story in the Times of London on Monday, reporting that the Duke and Duchess of Sussex, Meghan and Harry, felt "pushed away" by William's "bullying attitude."