May 24, 2010
Steve Bird
The Duke of York faced fresh controversy over his role as British business ambassador last night after it emerged that his former wife had apparently offered access to him in exchange for £500,000.
There were fears that his position as Special Representative for International Trade and Investment had been compromised by her asking an undercover reporter for the money.
The Prince, 50, arrived in Britain yesterday after visiting Malaysia to promote industry. He is expected to meet advisers at Buckingham Palace today and also to speak to representatives of the UK Trade & Investment department, which he represents.
The Duchess of York, also 50, said she was “devastated” after being filmed by the News of the World, which is owned by News International, parent company of The Times. “I very deeply regret the situation and the embarrassment caused,” she said yesterday. “It is true that my financial situation is under stress.
“However, that is no excuse for a serious lapse in judgment and I am very sorry that this has happened. I can confirm that the Duke of York was not aware or involved in any of the discussions that occurred.”
Undercover footage showed the duchess, formerly Sarah Ferguson, suggesting that half a million pounds would “open doors” before confirming that she was referring to her former husband, who met the “most amazing people”. Claiming that she was broke, she accepted $40,000 (£27,600) in cash. She gave the reporter her bank details for future payments, adding “then you open up all the channels . . . then you meet Andrew and that’s fine. And that’s when you really open up whatever you want.”
She insisted that the Prince was “whiter than white” but also claimed to have discussed her plans with him. “Andrew said to me, ‘Tell him £500,000’ . He knows that he’s had to underwrite me up to now because I’ve got no money. So if you want to meet him, look after me and he’ll look after you . . . you’ll get it back tenfold.” The newspaper added that the Prince had no knowledge of the deal.
The Duchess ignored reporters’ questions when she arrived in Los Angeles yesterday after an American Airlines flight from Heathrow at 2.15pm (10.15pm GMT). She is attending an awards ceremony organised by the children’s charity Variety.
Last night UK Trade & Investment said that the issue was a matter for Buckingham Palace and backed the Prince’s work. Stephen Alambritis, of the Federation of Small Businesses, said: “The timing of this couldn’t be worse and this whole affair may affect the ability of the Prince to clinch those vital deals. When the pound is so weak and following the recent uncertainty about the election, his job is even more important than ever.”
He urged UK Trade & Investment and the Prince’s office to show that he was “above all this”. “Intrigue is not the way we do business.”
Last year the Prince, nicknamed Airmiles Andy, was paid £130,000 in expenses. He does not receive a salary. This year he was criticised for using a £1 million golfing villa in Abu Dhabi.
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