The Crown Estate is facing a parliamentary investigation over its property leases to the royal family, with a specific focus on the controversial rental agreement held by Prince Andrew for his Windsor home.
Parliamentary Scrutiny for Royal Finances
The powerful Public Accounts Committee (PAC) is set to launch a formal inquiry. This probe will examine the management of the Crown Estate's leases with royals, zeroing in on the deal that allowed the Duke of York to occupy the 30-room Royal Lodge on the Windsor Estate.
The move comes amid ongoing fallout from Prince Andrew's association with the convicted sex offender Jeffrey Epstein, which led to him being stripped of his military affiliations and royal patronages. He has also not responded to requests for information from the US Congress regarding the Epstein files.
The £488,342 Compensation Clause
Central to the inquiry is a clause in Andrew's lease that entitled him to a 'compensatory sum' if he ended his tenancy early. The lease for the mansion was reportedly set to run until 2078.
Having given the Crown Estate 12 months' notice to vacate the property, the Duke was in line to receive a payment of £488,342.21 for prematurely terminating the agreement. However, the Crown Estate has now indicated this payout is unlikely to be made in full.
Repairs and Dilapidations Offset Payout
In a statement, the Crown Estate cited the cost of necessary repairs and dilapidations at the property. These expenses will be taken into account and are expected to significantly reduce, if not entirely eliminate, the compensation due.
Prince Andrew is expected to leave Royal Lodge, his home of over two decades, as he continues to retreat from public life following the settlement of a civil sexual assault case in the United States, which he has consistently denied.
The PAC's investigation will seek to ensure transparency and value for money in all the Crown Estate's dealings, particularly those involving members of the royal family. The outcome could set a precedent for how similar leases are managed in the future.
