Prince Edward’s Controversial 150-Year Lease on Historic Mansion House Raises Fairness Questions
The Duke of Edinburgh, Prince Edward, secured a 150-year lease on Mansion House in Bagshot Park in 1998. The deal, signed for an upfront fee of £5 million, allows him to pay a nominal 'peppercorn' rent for the grand Grade II-listed property. Questions have now arisen over whether the arrangement benefits the public purse fairly.
Mansion House, a historic residence built for Queen Victoria’s son Prince Arthur, sits on 51 acres in Surrey. In 1998, the Crown Estate considered granting it 'grace and favour' status but instead pursued a commercial lease. Two earlier proposals—one to turn it into a conference center, another into a hotel—were rejected.
At the time, Edward began paying £5,000 a year in rent. After extensive renovations costing £2.98 million—of which he contributed £1.36 million—the annual rent rose to £90,000. Property agents estimated that a long residential lease in 1998 could have fetched between £2.5 million and £8 million on the open market.
The lease terms, including the undisclosed peppercorn rent, have drawn scrutiny. Campaigners argue that the taxpayer could benefit more if the property were let at market rates. The debate follows last month’s revelation that Edward’s brother, Prince Andrew, also pays a peppercorn rent for Royal Lodge in Windsor.
The lease signed in 1998 remains in place, with Edward and his wife Sophie continuing to reside at Mansion House. The Crown Estate’s decision to reject commercial offers and the long-term financial implications of the arrangement remain points of discussion. The property’s future use and rental terms are unlikely to change under the current agreement.
