Irish Embassy Faces €46,000 Annual Rent Increase in London

The Irish Department of Foreign Affairs has agreed to a significant annual rent increase of over €46,000 for the residence of the Irish ambassador in London. This adjustment brings the total cost of the property to approximately €10,000 per week. The new lease, amounting to €508,925 per annum, represents a 10% increase and was finalized due to a lack of viable alternatives, as detailed in documents released under the Freedom of Information Act.

Details of the Lease Agreement

The Irish ambassador has been residing at this property in Chester Square since September 2019. In late 2022, the Department of Foreign Affairs expressed interest in extending the lease. Although the landlord was amenable to the continuation of the tenancy, they requested a substantial rent increase exceeding 11%. Department officials made attempts to negotiate a reduced rate but were unsuccessful. The landlord insisted on a minimum weekly rent of £8,400 (approximately €9,787).

In the search for alternatives, the department engaged a property adviser to identify other suitable residences in London. The adviser reported that properties fitting the ambassador’s requirements would become available only a few times each year. Over a two-year period, eight properties were analyzed, with only three leasing for under £7,000 (around €8,156) per week. The majority were priced between £8,000 and £12,000.

Strategic Decision to Renew Lease

After carefully weighing the market evidence, a spokesperson for the Department of Foreign Affairs stated, “Having given the matter careful consideration, it was clear that a move would have no added benefit and would incur an additional cost to the Irish exchequer.” Consequently, the department decided to renew the lease for a three-year term, extending until September 2026, with an option to terminate on short notice should a more suitable property become available.

This decision reflects the complexities involved in securing diplomatic residences in high-demand areas of London, where rental prices can fluctuate significantly. The Department remains committed to finding the best possible arrangements for its representatives abroad while managing budgetary considerations effectively.