Princess Anne, 73, suffered concussion and minor injuries, thought to possibly have been caused by being either headbutted or kicked by a horse on her estate at Gatcombe Park in Gloucestershire on Sunday.
She is being kept in hospital for treatment, tests and observation.
Buckingham Palace said in a statement: "The Princess Royal has sustained minor injuries and concussion following an incident on the Gatcombe Park estate yesterday evening.
"Her royal highness remains in Southmead hospital, Bristol, as a precautionary measure for observation and is expected to make a full and swift recovery.
"The king has been kept closely informed and joins the whole royal family in sending his fondest love and well-wishes to the princess for a speedy recovery."
It is understood that Anne was within the protected perimeter of Gatcombe Park estate, where she lives, when the incident occurred.
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