Ex‑Prince Andrew earned from subletting royal cottages while on peppercorn rent

According to IOL, government auditors have revealed that Britain’s former prince Andrew earned a private income by subletting cottages on the grounds of the Royal Lodge while paying a nominal “peppercorn” rent for the mansion.

Key findings from auditors

The National Audit Office (NAO) report cited by IOL says Andrew, who is now known as Andrew Mountbatten-Windsor after being stripped of his titles last year, lived in the Royal Lodge on the Windsor estate and received proceeds from subletting three cottages on the property. The NAO said:

“We do not know what rent was charged,”

and noted the cottages have been vacant since April.

Payments, lease and compensation details

According to IOL, Andrew paid a £1 million premium to secure a 75-year lease on the Royal Lodge, agreeing to spend £7.5 million on improvements and to pay a peppercorn rent. The lease reportedly allowed him to claim compensation for ending it early.

IOL reports that, by moving out this year, he could have claimed over £300,000, but the Crown Estate said he is expected to receive nothing because of necessary repairs.

Wider questions about royal homes and finances

The NAO report, as summarised by IOL, also found that Andrew’s daughters, Beatrice and Eugenie, have apartments at royal palaces with rent paid from the privy purse King Charles’s private income despite not being working royals.

Parliament’s Public Accounts Committee is set to launch an inquiry this year into royal properties, the report said, as debate continues over how residences are managed and the transparency of royal finances.

Reaction and related developments

Quoted by IOL, Liberal Democrat lawmaker Norman Baker said:

“The royal family is yet again taking the public for a complete ride.”

Former committee chair Margaret Hodge told the BBC it was “shocking” the NAO did not know how much Andrew made from the sublets, according to IOL. The Times newspaper reported that some tenants were long‑serving staff, IOL said.

IOL reported a Buckingham Palace spokesperson said the NAO report was “in line with the royal household’s commitment to transparency” and added that

“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.”

Legal probe and recent moves

IOL says Andrew was briefly arrested in February amid renewed revelations tied to his friendship with Jeffrey Epstein. Police searched the Royal Lodge in February as part of a probe into alleged misconduct in public office; he has not been charged, the report adds.

According to IOL, Andrew has since moved to the king’s private Sandringham estate. British media also carried a photograph of Andrew with what appeared to be a large bruise on his face; IOL reported that the image was not described as a cause for concern.

What happens next

IOL reports that Parliament’s inquiry into royal properties will proceed this year, with scrutiny of the finances and occupancy arrangements highlighted by the NAO report.