Prince Andrew could be compensated with more than £500,000 by the Crown Estate if he chooses to leave Royal Lodge, it has been claimed. The King’s brother is said to be in talks with the King’s representatives about voluntarily leaving Royal Lodge following the furore over the “peppercorn” rent for his 30-room mansion, but he is reluctant to give up his residence of more than 20 years.
The Daily Telegraph reports that the sticking point in the talks is the location of his new home and financial compensation for funds spent on the lodge. The newspaper reported that Andrew was resistant, but there was a sense of inevitability about the prince, believed to be Queen Elizabeth II’s favourite child, giving up his home.
Andrew’s 75-year leasehold agreement revealed that he paid £1 million for the lease and that he has paid “one peppercorn” of rent if demanded per year since then.
He was also required to pay a further £7.5 million for refurbishments completed in 2005, according to a report by the National Audit Office.
The agreement also contains a clause that states the Crown Estate would have to pay Andrew around £558,000 if he gave up the lease.
There have been claims that the prince’s “peppercorn” rent on the Crown Estate property in Windsor Great Park was concealed in a redacted version of his lease submitted to the Land Registry more than 20 years ago.
Obstacles to reaching a settlement with the King are reportedly where Andrew, eighth in line to the throne, will live and what financial recompense he will receive for the funds he spent renovating the home.
There are likely properties on the King’s private Balmoral estate in Scotland and his Sandringham estate in Norfolk that could house Andrew, but whether he will accept a smaller home far from his supportive daughters remains to be seen. He has also been offered an Arabian palace in Abu Dhabi by the UAE’s royal family.
The King has long been said to have tried to encourage his younger brother, who lives in Royal Lodge with his ex-wife Sarah Ferguson, to move out, but Andrew signed a watertight 75-year lease on the property in 2003.
The Public Accounts Committee has already confirmed it is writing to the Crown Estate and the Treasury asking for further information about the prince’s lease.
Meanwhile, the Daily Mail reported the King could pay Andrew to leave Royal Lodge out of his own pocket to avoid public outcry regarding the Crown Estate’s compensation.
The outlet reported that experts suggested Charles would either personally reimburse his brother or find a way to pay back the Crown Estate.
Its royal editor, Rebecca English, wrote: “Buckingham Palace would undoubtedly be as reluctant as Andrew to have the issue of royal finances pored over by Parliament should he get a payout from the public purse.”
She also added that while acknowledging that talks may be ongoing, sources suggested that claims that a possible agreement may be imminent are “a little premature” yet.
