A major investigation is set to be launched into the Crown Estate and its leasing agreements with members of the Royal Family, following the scandal surrounding the Duke of York's property arrangements. The probe comes after MPs demanded urgent answers regarding the lucrative terms granted to Andrew Mountbatten-Windsor for his Windsor mansion.
The Royal Lodge Controversy and Compensation Claim
Bombshell letters have suggested that Andrew Mountbatten-Windsor could be entitled to nearly £500,000 in compensation for surrendering the lease on Royal Lodge in Windsor Great Park, Berkshire. The disgraced former prince, who was stripped of his titles, paid a £1 million premium for a 75-year lease on the Grade II-listed mansion back in 2003. Astonishingly, his annual rent was set at just "one peppercorn if demanded".
However, the Crown Estate now believes he is unlikely to receive a penny of the potential £488,342.21 compensation. This is because the property is reportedly in such a state of disrepair that the cost of necessary end-of-tenancy repairs would likely negate any payout. An inspection conducted on 12 November confirmed the poor condition of the 30-room mansion.
Contrasting Deals for Other Royals
The revelations have thrown a spotlight onto the vastly different leasing arrangements for other senior royals, detailed in a comprehensive report published on Tuesday.
In stark contrast to Andrew's peppercorn rent, the Prince and Princess of Wales hold a 20-year non-assignable lease for Forest Lodge, commencing 5 July 2025, for which they pay an "open market rent". The couple moved into the eight-bedroom home with their children during the October half-term. The Crown Estate commissioners were asked to consider this lease for William and Kate's use as their primary private residence after discussions with the Royal Household.
Further details emerged concerning the Duke and Duchess of Edinburgh. It is reported that Prince Edward secured a deal in 2007 for the 120-room Bagshot Park in Surrey, involving a £5 million upfront payment for a 150-year lease, after which he essentially lives rent-free. The late Queen's youngest son had originally leased the Crown Estate home in March 1998 for £50,000 per year, a figure that later rose to £90,000.
Timeline and Fallout
Despite serving a "Tenant’s Notice offering to Surrender the Lease" on 30 October 2025, Andrew Mountbatten-Windsor retains the legal right to remain at Royal Lodge until October 2026, as per the 12-month notice period in his lease. He is, however, expected to vacate the property much sooner and relocate to the King's private Sandringham estate.
The unfolding scandal has prompted widespread outrage and parliamentary scrutiny, forcing a long-overdue examination of the transparency and fairness of property deals between the Crown Estate and the Royal Family. The probe aims to ensure public assets are managed appropriately and that all arrangements can withstand public and parliamentary scrutiny.
