Prince Andrew continues to face ongoing controversies as it has recently come to light that he has paid minimal rent for Royal Lodge over the past 20 years. This revelation sheds light on how he and his former wife, Sarah Ferguson, have maintained their residence in the expansive 30-room estate and increases pressure on him to consider relinquishing it.
Despite their divorce in 1996, Andrew and Sarah reside in separate wings at the Lodge. Calls for the scandal-plagued couple to vacate the property have escalated significantly.
Speculation surrounds Andrew’s next move, with Frogmore Cottage, previously occupied by Prince Harry and Meghan Markle, initially suggested as a potential residence. However, a new property option for the Prince has emerged – the Castle of Mey, a historic 16th-century home nestled in a remote village in Scotland.
The Castle of Mey’s location may not be ideal for Andrew, known for his accustomed lifestyle and privileges. The village has been described as lackluster and derelict by some visitors, potentially making it a tough sell for the Prince.
Notably, Andrew’s leasehold agreement for Royal Lodge indicates that he has paid a nominal “one peppercorn (if demanded)” in rent annually since 2003. Following a financial cut-off by the King, his declared income now solely relies on a £20,000 naval pension per year.
Initially believed to have paid £1 million for the lease and an annual “notional” rent of £260,000 since 2003, Andrew also committed to funding property refurbishments totaling £7.5 million. The lease terms stipulate that the notional rent would only be due if he failed to complete the refurbishment works, allowing for the peppercorn rent payment.
The Crown Estate, responsible for managing Crown properties for taxpayers’ benefit, has confirmed that the Royal Lodge is now held under a peppercorn rent arrangement, with a recorded value of “nil” in a National Audit Office report. Andrew remains responsible for the property’s maintenance costs.
Furthermore, the lease agreement outlines that Andrew would receive approximately £558,000 from the Crown Estate if he were to surrender the lease. He would also be entitled to a compensatory sum of £185,865 per year until the agreement’s completion in 2028.