Prince Andrew will receive significantly less than the initially expected £558,000 compensation for vacating Royal Lodge. Substantial repair costs needed at the 30-room Windsor mansion are reducing the final payout, according to reports.
A royal source told The Daily Telegraph there is "a lot of work that needs doing" at the property. Issues reportedly include a potentially collapsing flat roof and crumbling walls. Under the terms of Andrew's lease agreement, his lease contract obliged him to maintain the estate, and authorities may now deduct repair costs from his compensation package.
King Charles III will privately fund an annual stipend for Andrew to support his living expenses. This financial support comes from the King's private income, not from the Duchy of Lancaster, which generates over £27 million annually for the monarch. The arrangement aims to manage Andrew's finances after his move to a smaller residence.
Move to Sandringham
Andrew is set to relocate to a smaller home on the King's Sandringham estate in Norfolk at the new year. The move follows Charles stripping him of his prince and Duke of York titles on Thursday, cementing his banishment from public life.
His association with convicted paedophile Jeffrey Epstein and allegations of sexual abuse, which Andrew has strongly denied, have tainted the royal family's reputation.
Royal Lodge lease history
Andrew signed a 75-year lease on Royal Lodge in 2003, paying £1 million for it. He then spent an additional £7.5 million on refurbishments completed in 2005.
For over 20 years, he has paid "one peppercorn" of rent annually "if demanded" under the lease terms, which required him to repaint the exterior every five years and the interior every seven years.
Note: This article was created with Artificial Intelligence (AI).
