He pocketed the rents while paying almost nothing himself
For more than two decades, members of the British royal family have occupied Crown Estate properties under financial arrangements that a National Audit Office investigation now reveals bore little resemblance to market reality — with Andrew Mountbatten-Windsor at the centre, having collected private rental income from estate cottages while himself paying near-nothing for a 30-room mansion. The audit, prompted by Mountbatten-Windsor's removal from royal life following his connections to Jeffrey Epstein, has widened into a broader reckoning with how public assets have quietly subsidised private advantage across the royal household. Parliament's public accounts committee will now examine whether these arrangements have served the nation or merely those fortunate enough to hold a royal lease.
- Andrew Mountbatten-Windsor quietly pocketed rental income from Crown Estate cottages for over 20 years while paying a token sum for a sprawling 30-room mansion — a private profit scheme now laid bare by official auditors.
- The audit arrives amid the wreckage of his public life: stripped of his royal title in October 2025, arrested on suspicion of leaking government secrets to Jeffrey Epstein, and now displaced to a temporary residence while his permanent home is renovated.
- The scrutiny extends beyond one disgraced duke — the Prince and Princess of Wales, Princess Beatrice, Princess Eugenie, and the Duke and Duchess of Edinburgh all occupy royal properties at rates the report confirms fall well below open market value.
- Politicians from across the spectrum have reacted with fury, with one former minister warning that Mountbatten-Windsor may have 'made millions on the side' from assets that should have generated income for the public purse instead.
- The Crown Estate and Buckingham Palace insist all leases were set with independent professional advice, but that defence now faces a parliamentary public accounts committee inquiry expected to probe whether taxpayers have received fair value.
A National Audit Office investigation has revealed that Andrew Mountbatten-Windsor ran a private rental operation at Royal Lodge for more than twenty years, subletting three estate cottages to unknown tenants while paying near-nothing — a so-called peppercorn rent — for the 30-room mansion he occupied. The exact income he collected remains undisclosed, and all tenants had vacated the cottages by April of this year.
The audit was triggered by the controversy surrounding Mountbatten-Windsor's fall from royal life. In October 2025, he was stripped of his royal title and ordered to leave Royal Lodge following revelations about his ties to financier Jeffrey Epstein. He has denied wrongdoing, but faces separate allegations of leaking sensitive government information to Epstein during his time as UK trade envoy — allegations that led to his arrest on suspicion of public misconduct in February. He now lives temporarily at Wood Farm on the Sandringham Estate.
The investigation also cast light on arrangements for other royals. The Prince and Princess of Wales pay £307,200 annually for Forest Lodge under a 20-year lease, with no upfront deposit in exchange for funding all internal refurbishment themselves. Princesses Beatrice and Eugenie occupy properties at St James's and Kensington Palace at roughly 60 percent of market rates, though auditors found this standard had not always been consistently applied. The Duke and Duchess of Edinburgh similarly sublet stables at Bagshot Park for private income until 2020.
Political reaction was fierce. Labour MP Rachael Maskell said the findings showed how Mountbatten-Windsor had exploited his position at public expense, while former Liberal Democrat minister Norman Baker called the arrangements an act of contempt for taxpayers, suggesting the subletting scheme may have generated millions that should instead have flowed to the Crown Estate.
The Crown Estate and Buckingham Palace defended the leases as having been set in line with independent professional advice and open market valuations. The findings will now go before the parliamentary public accounts committee, which is expected to examine whether these arrangements have genuinely served the public interest — or simply those holding the keys.
A National Audit Office investigation has exposed how Andrew Mountbatten-Windsor operated a private rental scheme at Royal Lodge for more than two decades, collecting income from three estate cottages while himself paying what amounts to nominal rent on the sprawling 30-room mansion. The arrangement, now detailed in an official audit, raises sharp questions about how members of the royal family have managed Crown Estate properties and what obligations they actually owe the public purse.
Under his lease agreement with The Crown Estate, Mountbatten-Windsor was permitted to sublet three of the eight cottages on the Windsor property while occupying the main house. He exercised this right consistently, pocketing the rental income from tenants whose identities remain unknown. The exact sums he collected are also undisclosed. All tenants had vacated the cottages by April of this year, according to auditors. The arrangement persisted even as Mountbatten-Windsor paid almost no rent himself since 2003—a "peppercorn rent" in the language of property law, meaning a token payment that bears no relation to market value.
This discovery emerged as part of a broader audit into royal housing arrangements, triggered by the controversy surrounding Mountbatten-Windsor's lease and his subsequent removal from public life. In October 2025, he was formally stripped of his royal title and instructed to vacate Royal Lodge following revelations about his connections to financier Jeffrey Epstein. He has denied any wrongdoing. The timing of his departure—and the subsequent audit—has cast his decades-long subletting operation in a new light, particularly as he faces separate allegations of leaking sensitive government information to Epstein during his time as UK trade envoy. He was arrested on suspicion of public misconduct in February and has since moved to Wood Farm on the Sandringham Estate while his permanent residence at Marsh Farm undergoes renovation.
The audit also examined housing arrangements for other senior royals, revealing a pattern of below-market rents across the royal family. The Prince and Princess of Wales pay £307,200 annually for Forest Lodge, their residence on Crown Estate land. Though this figure appears substantial, the report notes they signed a 20-year lease with no upfront deposit because they are funding all internal refurbishment costs themselves. The Crown Estate had previously spent nearly £397,000 on repairs to the mansion, cottages, barn, and grounds. The Wales's rent is subject to review every five years, with increases tied to inflation between 3 and 5 percent. Princess Beatrice and Princess Eugenie, both non-working royals with private employment, occupy properties at St James's Palace and Kensington Palace respectively, with rents generally set at around 60 percent of open market rates, though the report found this standard had not always been consistently applied. No specific figures for their payments were released, the watchdog citing privacy.
Edward and Sophie, the Duke and Duchess of Edinburgh, operated under similar subletting permissions at Bagshot Park, collecting private income by renting out stables to third parties until 2020. The cumulative picture suggests a system in which members of the royal family have enjoyed substantial financial advantages through property arrangements that would be unavailable to ordinary tenants.
Political reaction has been swift and sharp. Rachael Maskell, the Labour MP for York Central, called the revelations emblematic of how Mountbatten-Windsor "has profited from his position and exploited this for his own benefit at the expense of others." Norman Baker, a former Liberal Democrat minister, branded the arrangements "outrageous," arguing they demonstrate "absolute total contempt for the taxpayer." He noted that Mountbatten-Windsor not only secured a peppercorn rent on a vast property but "potentially made millions on the side from subletting properties" that should have generated income for the Crown Estate instead.
The Crown Estate and Buckingham Palace have both defended the arrangements, stating that leases were agreed in line with independent professional advice and open market valuations, and that they reflect a commitment to transparency. The findings will now be presented to the parliamentary public accounts committee as part of a wider inquiry expected to take place later this year. That investigation will likely focus on whether the current system adequately protects public interest and whether the financial terms granted to royals represent fair value for the nation.
Citas Notables
Every revelation about Andrew Mountbatten-Windsor highlights how he has profited from his position and exploited this for his own benefit at the expense of others.— Rachael Maskell, Labour MP for York Central
It shows an absolute total contempt for the taxpayer. Andrew was able to have a peppercorn rent for a gigantic property, but then to make potentially millions on the side from subletting properties.— Norman Baker, former Liberal Democrat minister
La Conversación del Hearth Otra perspectiva de la historia
Why was Mountbatten-Windsor allowed to sublet in the first place? Wasn't there oversight?
The Crown Estate lease explicitly permitted subletting of three of the eight cottages. It was technically legal. But the audit suggests no one was closely monitoring what he actually collected or from whom.
And he paid almost nothing himself for the main house?
Since 2003, yes—a peppercorn rent. That's the real scandal. He occupied a 30-room mansion for essentially nothing while extracting market-rate income from the cottages.
Do we know how much money he made?
No. That's part of what's infuriating people. The amounts are secret. He could have made hundreds of thousands or more over 20 years, and the public has no way to know.
What about the other royals? Are they doing the same thing?
Not exactly the same way. But the pattern is consistent—below-market rents across the board. The Wales pay a substantial sum, but they're also funding all the renovations themselves. Beatrice and Eugenie pay around 60 percent of market rate. It's a system designed to benefit them.
Why does this matter now?
Because Mountbatten-Windsor's fall from grace opened a door. The audit happened because of the Epstein scandal and the questions it raised. Now Parliament is asking whether any of these arrangements make sense.
What happens next?
The public accounts committee will investigate. They'll likely push for transparency on the amounts, clearer terms, and possibly higher rents. The system that's worked quietly for decades is now under scrutiny.