Meghan and Harry were living RENT FREE at Frogmore due to deal with Palace after couple paid back £2.4m

However, the couple stayed in Frogmore Cottage for less than a year before moving to California via a short spell in Canada.

It was reported that Meghan and Harry would pay a "commercial rate" for the five-bedroom mansion on the Windsor estate.

However, Palace officials confirmed over the weekend that the lump-sum payment wiped out the Sussexes' rental obligations as the increased value of the property following renovations as 'rent in lieu'.

It is estimated that Frogmore would cost between £150,000 and £230,000 a year to rent, meaning Meghan and Harry would have saved around £700,000.

The Sussexes will not be renewing their lease for the property.

A Palace spokesperson told the Mail: "The Duke and Duchess of Sussex made a contribution of £2.4million to the Sovereign Grant which covered the refurbishment of Frogmore Cottage.

"They have fulfilled their financial obligations in relation to the property.

"In line with usual practice for the Sovereign Grant report, the accounting treatment was scrutinised and signed off by the National Audit Office and the Treasury.

"As with any such agreement between landlord and tenant, further details regarding the Sussexes' tenancy arrangements would be a private matter."

The Duke and Duchess of Sussex were given use of the five-bedroom Frogmore Cottage by the Queen as a wedding present in 2018.

Meghan and Harry have barely lived in the royal residence over the last three years.

Prince Harry did stay in Frogmore Cottage in 2021 when he flew back to the UK for Prince Philip's funeral.

Princess Eugenie lived in the property after Meghan and Harry moved to the US. However, Prince Andrew's youngest daughter now lives in Portugal.

Prince Harry later paid back the cost of the renovations to the UK taxpayer in a deal which included leasing Frogmore Cottage for “several years”.