Prince Andrew intends to honour the 55 years left on his Royal Lodge lease, friends say

The Duke of York has “no plans to move house” because he has a 75-year lease on Royal Lodge, Windsor.

Amid reports the King has told him to vacate the 98-acre Windsor property, his home of more than 20 years, the Daily Telegraph has learned that Prince Andrew intends to honour the terms of the lease he signed on in 2003, which has 55 more years to run.

Last night, a source close to the disgraced Duke, 63, distanced him from reports suggesting he “fears the royals may turn off the utilities to get him out”.

A friend told the Mail on Sunday that he is in low spirits and “refusing to budge” from the property, which is understood to have been earmarked for the Prince and Princess of Wales and their children.

“He is so fragile,” the friend told the newspaper. “He’s refusing to see anybody. This has been his family home for the past 20 years. Is it really sensible to kick him out?”

They added: “He’s concerned that now the Coronation is over, the knives are out. He’s worried that the royals might even turn off the utilities to get him out of there. But we’re dealing with human beings, not real estate.”

But a source close to the Duke said he did not recognise the claims, adding: “He has a 75-year lease and has no plans to move house.”

Earlier this year, the newly-crowned monarch made a cut to this brother’s annual allowance of £249,000 ($500,000), effectively pricing him out of the running costs of the 30-room home.

The Duke, who relies on the allowance since he left front-line royal duties in 2019, moved into the Grade-II listed house in Windsor Great Park following the death of the Queen Mother in 2002.

The lease agreement required Andrew to carry out, at his own expense, refurbishments estimated at £7.5 million. It also provided for a premium payment of £1 million to the Crown Estate.

Won’t benefit financially

Under the terms of the agreement, approved by the National Audit Office, the Duke may not benefit financially from any increase in the value of the property as the freehold belongs to the Crown Estate.

The leasehold may be assigned only to his widow or his two daughters, Princesses Beatrice and Eugenie or a trust established solely for their benefit.

If he terminates the lease, the property would revert to the Crown Estate and he would be entitled to compensation for the refurbishment costs incurred up to a maximum of just under £7m, which is reduced annually over the first 25 years, after which no compensation is payable.

Royal Lodge has also been home to Andrew’s ex-wife, Sarah, the Duchess of York since 2008 although last year she purchased a pair of flats costing up to £7m in the heart of Mayfair as a “long-term investment” for her daughters.

It is thought she is converting the flats into one home, but a source close to the Duchess said she wasn’t planning to live there with Andrew.

It has been suggested that if the Duke did move from Royal Lodge, he would move to nearby Frogmore Cottage, the former home of the Duke and Duchess of Sussex.