A powerful parliamentary committee has launched a significant investigation into the Royal Family's finances, sparked by revelations about the Duke of York's long-term living arrangements. The probe centres on properties managed by the Crown Estate and questions whether taxpayers are receiving value for money from deals struck with senior royals.
The Spark: A 'Peppercorn' Rent for a Royal Mansion
The inquiry by the Public Accounts Committee (PAC) follows intense scrutiny of Prince Andrew Mountbatten-Windsor's occupancy of the 30-room Royal Lodge in Windsor. It was recently revealed the King's brother has lived there for nearly two decades, paying a minimal 'peppercorn' rent after an initial outlay of £7.5 million for a 75-year lease. This arrangement came to light amidst the fallout from his association with the late convicted sex offender, Jeffrey Epstein, which led to him being stripped of his royal titles and military affiliations.
MPs in the House of Commons demanded answers on how the disgraced prince funded his luxury lifestyle. The PAC, describing the allegations against him as "serious and disturbing," has now initiated a wider examination. Andrew remains requested to speak to the US Congress regarding the Epstein investigation.
A Pattern of Preferential Leases Emerges
The financial scrutiny has extended beyond Andrew. The committee's initial findings show he is not alone in securing favourable terms from the Crown Estate, the body that manages royal residences occupying a complex space between public and private sectors.
It was revealed that Prince Edward, the Duke of Edinburgh, and his wife have a similar deal for Bagshot Park, a 120-room home. They moved in during March 1998 with a five-decade lease initially costing £5,000 annually. After paying £1.36 million for renovations, supplemented by a further £3 million from the Crown Estate, their annual rent increased to £90,000.
Furthermore, the inquiry has uncovered that the Prince and Princess of Wales have negotiated a lease for their new home, the eight-bedroom Forest Lodge on the Windsor Estate. The 20-year lease for what they describe as their "forever home" is now under examination to determine if its cost reflects the 'market rate'.
Billions at Stake: Demands for Greater Transparency
This parliamentary move signals unprecedented pressure for clarity on the monarchy's vast and often opaque wealth. The Royal Family's funding streams are notoriously complex, comprising:
- The Sovereign Grant: Tens of millions provided annually for official duties, funded by a percentage of Crown Estate profits.
- The Duchies of Lancaster and Cornwall: Private estates that provide substantial income to the monarch and the Prince of Wales respectively.
- Personal Property and Investments: A private portfolio whose origins and scale have been debated for centuries.
Each year, royal correspondents pore over the Sovereign Grant accounts, but public and political focus has sharpened as debates over public spending intensify. The PAC inquiry could force a new level of transparency over how these multimillion-pound funds are distributed and used, potentially impacting the financial dealings of a family whose collective wealth is estimated in the billions.
With Andrew due to leave Royal Lodge by October 2026, the probe ensures that the spotlight on royal finances, and the questions over fairness and public accountability, will burn brightly for the foreseeable future.
