Andrew Mountbatten-Windsor landed in trouble after new revelation that he allegedly made millions from Royal Lodge sublets.
A National Audit Office investigation has revealed Andrew collected undisclosed private income by subletting three cottages on his Royal Lodge estate.
It has also been exposed that the former Duke of York only paid peppercorn rent on the residence himself.
The public spending watchdog published its findings following ongoing controversy surrounding Andrew’s lease arrangements at the royal residence.
The NAO found that adjusted rents for Royal Household properties requiring tenants with security clearance had been calculated using outdated market valuations for several years.
The findings will now form the basis of a Public Accounts Committee inquiry into royal property arrangements.
The report also uncovered that King Charles covers the accommodation costs for Princess Beatrice and Princess Eugenie, despite neither of his nieces carrying out official royal duties.
King Charles III’s younger brother’s lease was negotiated in 2003 with an agreement that he would invest £7.5million in renovating the property, which the Crown Estate has confirmed he completed.
In exchange for this substantial restoration commitment, his upfront capital premium was reduced to £1million, with only a peppercorn rent required thereafter.
The NAO did not disclose how much income Andrew generated through these subletting arrangements, stating that such figures were private, nor did it confirm whether the properties were continuously occupied by tenants.
A Buckingham Palace insider has stated that the subletting arrangements involving properties on the Royal Lodge estate were private agreements between the leaseholder (Andrew) and tenants of the sublet.
A Crown Estate spokesperson told GB News: “The Crown Estate welcomes the National Audit Office’s review which confirms its leases with members of the royal family were agreed in line with independent, professional advice and open market valuations.”
While a Buckingham Palace spokesperson told The People’s Channel: “We are grateful to the National Audit Office for this report, which is in line with The Royal Household’s commitment to transparency.
“We hope that the findings will help correct, clarify or contextualise a number of points regarding Royal properties.
“As the report notes, arrangements for properties managed by the Royal Household vary based on a number of factors to ensure residences are filled appropriately, depending on their location, tenants and purpose.”
2026-06-05 12:09:00
