King Charles is reportedly angry that Prince Andrew dragged the monarchy into a major scandal as his association with an alleged Chinese spy but still he can’t ‘divorce or sack’ his younger brother.
DailyMail has discovered that the Palace cannot verify whether the Duke is utilising funds from Chinese donors to maintain his residence at the 30-room Royal Lodge in Windsor Park.
Palace authorities have determined they lack the jurisdiction to investigate Andrew's finances and must accept his assurances regarding the legitimacy of his income sources.
"The Palace has managed the situation as effectively as possible with a challenging relative," stated the source of DailyMail. "All possible measures have been implemented, but fraternal bonds cannot be dissolved. All families face difficulties with certain members. The entire family's reputation suffers due to one individual's actions."
The crisis intensified on Thursday when reports emerged about a 'close confidant' of the Duke of York, identified as an alleged Chinese spy, who has been barred from entering the UK following MI5 investigations.
The alleged agent, known as H6, had remarkable access to royal properties, visiting Buckingham Palace twice and entering St James's Palace and Windsor Castle. He was authorised to seek Chinese investors on Andrew's behalf.
MI5 uncovered that the 50-year-old businessman belonged to the Chinese Communist Party and worked for its United Front Work Department, an intelligence-gathering organisation. When stopped at the UK border in 2021, he possessed documents suggesting Andrew was in a "desperate situation and will grab onto anything".
The situation threatens to overshadow the work of other senior royals and comes shortly before the King's Christmas message. Earlier this year, the King withdrew funding for his brother's £3 million (approx 32,12,00,000) annual security at Royal Lodge, though Andrew later secured alternative funding to remain there.
The Palace's inability to scrutinise the Duke's private income has raised concerns, with former minister Norman Baker calling the situation "extraordinary" and demanding transparency about the funding sources. Prince Andrew withdrew from royal duties in 2019 following controversy over his connections to Jeffrey Epstein.