Crown estate faces MPs' inquiry after questions over Andrew rent deal

The Commons public accounts committee is to launch an inquiry into the crown estate and its leases on properties to members of the royal family after questions over the lease of Royal Lodge to Andrew Mountbatten-Windsor.

- Caroline Davies

Publishing responses from the crown estate and the Treasury to detailed questions over the lease arrangements, the committee's chair, Geoffrey Clifton-Brown, said: "Having reflected on what we have received, the information provided clearly forms the basis for an inquiry." He said this would take place in the new year.

In a report for the committee, the crown estate confirmed that Mountbatten-Windsor was unlikely to receive any compensation for giving up his 75-year Royal Lodge lease early because of repairs that will have to be carried out on the 30-room mansion in Windsor Great Park. In 2003 he paid a £1m premium plus £7.5m upfront for refurbishment and agreed to pay a "peppercorn rent (if demanded)".