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He made this comment following his brother Prince Harry and his wife Meghan’s explosive claims in a TV interview with Oprah Winfrey which was aired early this week.
In the interview, Meghan claimed that the skin tone of the couple's child, Archie, was discussed as a potential issue before he was born.
The couple would not reveal who had made the remarks, but said it wasn't Queen Elizabeth II or her husband, Philip, the Duke of Edinburgh.
Meghan also disclosed having regular suicidal thoughts during her pregnancy and brief time as a working royal, and the couple said the palace had offered Meghan and Archie inadequate security and protection.
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But in his response, Prince Williams told a reporter during a visit to a school in east London that: "We're very much not a racist family."
And responding to a question on whether he had spoken to his brother since the interview with Oprah Winfrey, Prince William said: "I haven't spoken to him yet but I will do."
On Tuesday, Buckingham Palace broke its silence saying in a statement on behalf of the Queen that the allegations of racism were concerning and were being "taken very seriously."
"The whole family is saddened to learn the full extent of how challenging the last few years have been for Harry and Meghan," the statement said.
"The issues raised, particularly that of race, are concerning. While some recollections may vary, they are taken very seriously and will be addressed by the family privately."