The NAO reports The Crown Estate spent £396,993 in 2025 preparing Forest Lodge for the Prince and Princess of Wales — more than England’s average house price of £268,000. Repairs included £213,353 on the main Georgian house, two staff cottages (£48,575 and £90,626) and a barn (£44,439); a third cottage required no works. William and Catherine signed a 20-year lease from 5 July 2025 at £307,200 a year, with five-year CPI-linked rent reviews. The Crown Estate and the Royal Household say the rent was set at market value and welcome the NAO’s transparency.
Forest Lodge Makeover: Crown Estate Spent £396,993 Preparing William and Catherine’s New Home — More Than England’s Average House Price
(Getty Images)
The National Audit Office (NAO) has revealed The Crown Estate spent £396,993 in 2025 on preparatory works at Forest Lodge ahead of the Prince and Princess of Wales moving in with their three children. The report breaks down the costs and explains how the funding and lease arrangements were agreed.
What Was Repaired and Why
Forest Lodge, a Grade II–listed 18th-century property, required a programme of repairs to make it suitable for occupation. The NAO lists the works and costs as follows:
The Prince and Princess of Wales moved to Forest Lodge in 2025 (Getty Images)
Main Georgian House: £213,353 for heating, plumbing and structural repairs.
Stable Cottages (Two): £48,575 and £90,626 for cottages used by live-in staff.
Former photos showed the interior of Forest Lodge when it had renovation work in 2001 (PA Images via Getty Images)
Barn: £44,439.
A third stable cottage is included in the Waleses’ lease but did not require works because the previous tenant remained until January 2026.
The report revealed that the Crown Estate funded renovations for the main property, as well as two cottages and a barn (Getty Images)
Context And Background
The NAO notes that the total preparatory bill alone exceeded the average property value in England (£268,000) by more than £100,000. Forest Lodge dates from the 1770s and previously underwent an extensive refurbishment around 2001, at an estimated cost of about £1.5 million.
Photographs of the empty house show original stonework, ornate plaster cornices, marble fireplaces and Venetian windows. The Crown Estate funded the essential preparatory repairs; William and Catherine are understood to have covered interior personalisation costs themselves.
The Prince and Princess of Wales have Apartment 1A in Kensington Palace at no cost (Getty Images)
Lease And Rental Terms
The couple signed a 20-year short-term lease that began on 5 July 2025 and pays £307,200 a year. The lease was assessed at open market rent by independent agents, and the NAO says rent reviews will take place every five years and be linked to the Consumer Price Index (CPI). The lease contains standard landlord and tenant repairing obligations and, if the couple move in future, it could be passed to their children.
In a statement, The Crown Estate said: "The lease for the Property was concluded on a 20-year Common Law Tenancy at an open market rent subject to standard Landlord & Tenant repairing obligations. The rent was assessed by Savills and Hamptons acting on behalf of the Crown Estate. Knight Frank acted for TRHs The Prince and Princess of Wales."
Other Residences And Transparency
William and Catherine retain access to Apartment 1A at Kensington Palace in London through their roles as senior working royals. Apartment 1A is one of several residences the Royal Household provides to senior royals for official duties. A Palace spokesperson welcomed the NAO report as consistent with the Royal Household’s commitment to transparency and said arrangements vary by property, tenant and purpose.
Key takeaway: The NAO report clarifies who paid for what — preparatory repairs were met by The Crown Estate, interior personalisation by the occupants, and rent was independently assessed and set at market value.
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