08 June 2026 , 09:11
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The two daughters of Andrew Mountbatten Windsor continue to receive rent-free accommodation in the Royal Palaces of Kensington and St James, despite their father’s departure and neither being active Royals, a report by the National Audit Office reveals today.
Beatrice and Eugenie, along with the Duke and Duchess of Kent, are financed by the King from the Privy Purse, which includes the Duchy of Lancaster.
These details emerged as part of a report from the Royal Household and the Crown Estate requested by MPs.
The remaining free accommodations in both palaces are occupied by eleven working Royals in exchange for their official duties.
The concession is worth a substantial amount, as payments required for non-working Royals occupying Royal accommodation are equivalent to 60% of current market rents for central London.
The report does not specify the current amount.
Andrew’s daughters would otherwise have been forced to leave his home in Royal Lodge Windsor when the King ordered his brother to vacate the property following the Epstein scandal. It is understood that the arrangement preceded this decision.
Andrew was entitled to compensation due to the early termination of the lease. However, it was noted at the time that property dilapidations would negate this compensation.
The new report raises some questions on this matter, as the agreed sum has still not been resolved months after the decision.
The report also reveals that Mountbatten Windsor sub-let three properties on the Windsor estate while occupying Royal Lodge, though it does not disclose the income from these lettings.
These properties are now vacant following his eviction from the lodge.
It also goes into detail about numerous other properties occupied by working and retired staff on various Royal estates.
There is a formula to determine the rent level staff must pay to either the Crown Estate or the Royal Household because they reside on the estate.
This equates to 16.7% of their gross pensionable salary.
A total of 145 properties fall under this arrangement.
Additionally, there are 255 properties owned by the Royal Household let to military knights pensioners and also rented privately to individuals subject to security checks.
Technology & Business Editor