She was there to attend Variety’s Power of Women event. But when Meghan Markle hit the red carpet in a $1,400 Proenza Schouler dress on November 16 in L.A., conversation quickly turned to the Duchess of Sussex’s holiday plans with husband Prince Harry, 39, and kids Archie, 4, and Lilibet, 2. “We’re creating new [traditions] now that our little ones are growing up,” she shared. “I love trimming and decorating the tree with my children.”

The truth is, there’s no longer anyone else for Meghan, 42, to really enjoy such festive fare with. Ten months after the release of Harry’s scathing memoir, Spare — which widened the divide with his family — Life & Style can confirm that he and Meghan won’t be going back to the U.K. for Christmas. “They’ve had zero contact with the royals,” a source exclusively reveals Life & Style, noting the pair were even snubbed from King Charles III’s 75th birthday celebration in November. “This holiday season will be difficult for Harry and Meghan. They’ve all but been forgotten.”

Perhaps worse? They’ve been replaced. According to a new report, Charles, 75, invited 76-year-old wife Queen Camilla’s kids and grandchildren to the annual family celebration at Sandringham House in Norfolk, England, for the first time ever in 2023. Meanwhile, Meghan and Harry “are expected to just spend the holidays with her mom,” a source tells Life & Style of Doria Ragland, 67. “Their circle has become very small since they moved to Montecito, California, in 2020. Meghan doesn’t hang out with a lot of her friends anymore and has fallen out with a few of them. They have many celebrity acquaintances who live nearby, but not tons of close and Harry has not made many new friends.” He’s openly admitted to missing his U.K. buddies as well as “the weird family gatherings when we’re all sort of brought together under one roof.”

“Christmas in the States is a lot different for Harry,” the source confirms to Life & Style, noting that prior to her death last year at age 96, “Queen Elizabeth II was fond of her traditions. It is bittersweet for him to now see Archie and Lilibet grow up without the same influences — and without a big group of cousins to run around with, like he always had.”

On top of that, it hasn’t been a great financial year for the Sussexes. With multiple business deals turning sour over the past 12 months, “the future isn’t looking as bright as it once was,” suggests the source. “But this holiday season, Harry and Meghan are both trying to focus on all of the blessings they do have.”

“Harry and Meghan will be staying in California for Christmas,” reveals an insider. “They’re creating new traditions and memories for their own family.”