Beatrice and Eugenie’s Royal Housing Deal Revealed — and It Raises Serious Questions for Charles
Princess Beatrice and Princess Eugenie's royal residences are back in the spotlight after a new report revealed who helps cover certain housing costs.
A new National Audit Office (NAO) report has shed light on how royal residences are allocated and funded, including housing arrangements involving Princess Beatrice and Princess Eugenie. Among its findings were new details about the York sisters' rental arrangements, revealing that certain housing costs are currently covered through King Charles's private funds.
According to GB News, the National Audit Office revealed that the sisters' discounted rent for residences in their royal estates is currently covered through the Privy Purse. It is funded largely by the Duchy of Lancaster and serves as King Charles's private income. The NAO explained that non-working members of the Royal Family living in occupied royal palaces are usually charged adjusted rents of around 60 percent of the open market value. However, it also documented that this policy "has not always been consistently applied across all arrangements." In the case of the York sisters, the report confirms that rent payments for their residences are being taken care of by the Sovereign's private funds.
The report also provided a detailed breakdown of how those rental arrangements have changed over time. For Princess Eugenie, the rent was initially at 50 percent of the property's 2018 market value in 2020 and 2021. It then increased to 55 percent in 2022, 60 percent in 2023, 63 percent in 2024, and finally 64 percent by 2026. Princess Beatrice's rent was calculated at 60 percent of the 2020 market value in both 2020 and 2021. It then rose gradually to 68 percent by 2026, post-subsequent valuation adjustments. The NAO report also stated that the rental levels for similar properties have increased incrementally over recent years. However, it also added that "the basis for those adjustments has not always been fully clear due to inconsistent revaluation practices."
While the sisters' living arrangements have attracted attention, the report also noted that housing arrangements vary depending on a royal's role, security requirements, and whether a property is needed for official duties. The review concluded that 11 working members of the Royal Family currently occupy seven residences within St. James's Palace and Kensington Palace without charge because of their official responsibilities. By comparison, three properties occupied by non-working royals, including those associated with Beatrice and Eugenie, are subject to adjusted rental agreements under Household policy.
The findings formed part of a broader NAO examination, especially into crown estate leases, staff accommodation, grace-and-favor homes, and broader royal property management. As per the report, the royal household generated as much as £3.6 million ($4.8 million) via rental income during the 2024-25 financial year from non-official residential use across the royal estates. The NAO also noted that royal housing arrangements are established by "historic precedent, security requirements, and the operational needs of the monarchy."
Responding to the findings, a Crown Estate spokeswoman said the leases involving members of the Royal Family had been agreed "in line with independent, professional advice and open market valuations." And that they "look forward to discussing the report further with the Public Accounts Committee in due course."
