Prince Andrew may have stepped away from public life, but it hasn't stopped him from constantly making headlines. The Queen's favorite son hit a rough patch last fall when a disastrous interview sealed his fate.
The Duke of York stepped away from public life in November after sharp criticism of his sit-down with BBC Newsnight. The public could not get past Andrew's friendship with the late disgraced financier and sex offender Jeffrey Epstein. Anyone well-versed in the ups and downs of the royal family could tell you that it wasn't Andrew's first rendezvous with controversy, and apparently it will not be his last.
The Financial Times has done a deep dive into the financial fallout Prince Andrew has faced since his step back from royal duties. It's no surprise that Andrew and ex-wife and close confidant Sarah Ferguson have suffered significant losses.
Andrew and Sarah find themselves in a legal dispute over failure to pay off a luxury Alpine chalet. The duke also owes his charity, Pitch@Palace. He has been ordered to pay £350,000 back after using charity funds to pay his former secretary's exit package.
Ever since Prince Andrew stepped away from public life, royal watchers were curious to see how the next chapter of his story would play out. While he has yet to cooperate with authorities regarding his ties to Jeffrey Epstein, the Duke of York is facing fallout over his finances. The controversy related to his finances began to unravel with news that Andrew and ex-wife Sarah Ferguson failed to complete payments on a £16.6 million Swiss chalet.
The former spouses, who are close friends, purchased the Swiss chalet in 2014. A final payment of £6.6 million was never paid to the seller, who remains anonymous. A source told The Times the payment wasn't made by the January 1 deadline because of the hits the Yorks have taken financially since Andrew stepped away from royal duties in November.
"A number of the duchess’s book deals and planned documentaries were suddenly canceled," the source said.
"As a result, it was clear they would struggle to meet their financial obligations. The decision was made that the chalet was going to be sold to clear their debts and the situation would be resolved to everybody’s satisfaction," the source continued.
The seller's attorney notes the publicity of the situation may be used by future buyers to bring down the price, which means they may not necessarily recuperate the previously agreed-upon amount.
"The intention is still to put the chalet on the market and to see if they are able to recover the money which is owed," the source said.
"It is hoped the sale price will cover the outstanding mortgage and the money owed to the seller. The vendor believes that the Yorks have the money and they are being obdurate because the duke is a son of the Queen. She wrongly believes they have it [the money] and they are not prepared to hand it over," the source continued.
"That is not the case, they will have to sell the property to get the money. They are trying to do the right thing. A worldwide pandemic has meant they have not been able to sell it as quickly as they want."
Just a day later, the Financial Times shared its own dig into Andrew's finances. The outlet revealed that the Charity Commission, which regulates nonprofit organizations in England and Wales, ordered Andrew to pay £350,000 to his charity, Pitch@Palace. He used charity funds to pay the exit package of his former secretary, Amanda Thirsk.
Amanda worked as Andrew's private secretary starting in 2012 but had worked in other capacities for him since 2004. She was infamously blamed for the Newsnight interview that led to Andrew's downfall.
"This has Amanda Thirsk’s hands all over it,” a source close to Sarah told The Telegraph.
"The Duke is not very quick on his feet so how could Amanda put him up to it. Amanda was the one who pushed for it. Fifty minutes with anybody on the one subject is going to be difficult. Even Newsnight [was] flabbergasted."
It seems that Andrew paid Amanda's exit package with charity funds from Pitch@Palace, his charity that amplifies the voices of entrepreneurs. After the Charity Commission called the funds into question, the Duke of York was ordered to repay a total of £355,297. The sum reflects five years of payments to Amanda.
The Financial Times also notes that there's a shroud of mystery around Andrew's finances. "He does not receive a direct public grant and instead has relied on income from his commercial activities," the article notes.
This was a point that the press harped on at the time he purchased the Swiss chalet. Many wondered where the money was coming from, as it didn't add up with what the public knew of his finances.
Andrew receives about £250,000 annually from the Queen, funded by the Privy Purse, or her private income. Add in another £20,000 per year from his Navy pension. He did not receive a salary for royal duties or from the Sovereign Grant. Yet he's been long known for enjoying the finer things in life, the ones with a higher price tag.
This may not even seem all that unusual for a royal until you consider how matters with Harry and Meghan have been handled. Why is it that the Duke of York can commercially profit from business endeavors while maintaining his military role, his HRH status, and, up until his resignation, his working royal status?
Any similar arrangement was out of the question where Harry and Meghan were concerned. In fact, every move they've made since leaving the UK has been spun by tabloids as a way to profit off their connection to the crown. What makes Andrew's way of doing so more legitimate?
Before they left their roles as senior royals, Harry and Meghan were scrutinized for every purchase they made. Yet Andrew has lived a lavish lifestyle for quite a number of years without as much questioning. On the other side of things, it seems the royal family doesn't feel the need to explain and address matters related to Andrew the way it did when it was Harry and Meghan.
It draws into question the issues many have with the royal family. Transparency is inconsistent, at best. There's been a call for a smaller royal family. It seems to be too pricey an institution for some to justify at its current size. The call is one that it seems Prince Charles is willing to honor when he takes the throne.
The royals have hoped to shift the focus away from their own dramas during this perilous time. They hoped to be beacons of leadership and hope. Andrew's continued negative press damages their gains, however, and it's not a matter that they can continue ignoring.
It will be interesting to see how Andrew's debts are settled. If the Queen takes care of it, she could come under scrutiny herself. If she doesn't, Andrew can be dragged through the courts. Considering that every issue seems to lead to another, Andrew stepping away from the family may not be enough, but what else is there? Only time will tell how the royal family handles the latest in a long series of headaches.
