Irish Ambassador’s Rent Surges by €46,000 in London Lease Renewal

The annual rent for the Irish ambassador’s residence in London has increased by more than €46,000, bringing the total to €508,925 per year. This hike, which equates to a rise of approximately 10%, has been deemed necessary by the Irish Department of Foreign Affairs due to a lack of viable alternatives. The new lease, signed recently, means the cost of the property is now close to €10,000 per week.

Negotiations and Alternatives

The ambassador has resided in the property located in Chester Square since September 2019. The department expressed interest in extending the lease in late 2022, but negotiations with the landlord proved challenging. Initial discussions aimed at securing a smaller rent increase were met with resistance. The landlord insisted on a minimum rent of £8,400 (approximately €9,787) per week, which the department found unacceptable.

Despite attempts to negotiate a more favorable deal, department officials could not reach an agreement. Records released under the Freedom of Information Act reveal that after several months of efforts, the landlord remained firm on their demands. An internal submission by the department indicated that suitable alternative properties were scarce, complicating the decision-making process.

In their search for other options, the department employed a property adviser to explore potential residences in London. The adviser reported that the type of accommodation required for the ambassador typically becomes available only a handful of times each year. During their review of eight properties rented over the past two years, they found that most leases fell within the range of £8,000 to £12,000 per week, with only three properties leasing for less than £7,000 (approximately €8,156) per week.

Financial Considerations

A spokesperson for the Department of Foreign Affairs explained that after careful consideration of the available market evidence, the decision was made to renew the lease for a three-year period, extending until September 2026. They noted that relocating would likely incur additional costs to the Irish exchequer, making the lease renewal the most feasible option at the time.

The department retained the option to terminate the lease with relatively short notice, should a more suitable property become available in the future. This decision reflects the complexity and financial implications involved in securing adequate housing for diplomatic representatives in a competitive real estate market like London.

As the situation unfolds, the department remains vigilant in monitoring the housing market for potential alternatives while managing the increased costs associated with the ambassador’s residence.