Property experts say the prime minister may have underestimated the value of Lord Alli’s London penthouse given its low price compared with similar rentals.
By Emanuele Midolo
Sir Keir Starmer may have underestimated the value of the luxury London penthouse he was given use of by Lord Alli before the election, property experts suggested, receiving “mates’ rates” for his stay.
Starmer stayed at the 5,000 sq ft penthouse in Covent Garden for a month and a half during the general election campaign, and declared the value of the donation to be £20,400, amounting to £450 a day or £13,500 a month.
However, similar properties rented out for short periods in the area have been advertised for more than twice the amount recently, with one Covent Garden apartment offered for £30,000 a month. It was claimed on Friday night that the penthouse next to Alli’s commands rents of £1,800 a day.
The findings follow mounting questions about freebies received by the new Labour government after it emerged that the prime minister and his wife accepted almost £19,000 in donations from Alli for clothes and glasses this year.
“It sounds like mates’ rates to me,” Camilla Dell, founder of the London property agency Black Brick, said. “Based on comparable luxury rentals in the area, it’s very low. And that property is quite unique, quite special — you can’t really compare it with something else. You need to look further afield to find something of that quality.”
Mark Turnstall, founder of Turnstall Property, a boutique agency that specialises in ultra-luxury rentals in central London, said that lettings shorter than 90 days commanded a hefty premium over long lettings.
Mark Turnstall, founder of Turnstall Property, a boutique agency that specialises in ultra-luxury rentals in central London, said that lettings shorter than 90 days commanded a hefty premium over long lettings.
Long-term lets in the area are “cheaper”: a three-bedroom flat in Centre Point on Tottenham Court Road went for £16,250 a month — but still higher than the £13,500 a month claimed by Starmer.
A three-bedroom flat below penthouse level on Portugal Street, near Holborn, is on offer for £19,500 a month with Savills for a minimum of a year’s lease.
Another estate agent specialising in high-end property, who asked not to be named, said there was plenty of “misinformation” and “misleading data” about prices in the luxury sector, and questioned the valuation of Starmer’s stay.
Luxury rental prices in London are on the up, the estate agents said, as high net-worth individuals opt to rent rather than buy to avoid committing to the UK amid proposed changes to the non-domiciled tax status.
Starmer claimed he took up the offer to allow his son to study peacefully for his GCSEs.
“I wasn’t going to let my son fail or not do well in his GCSEs because of journalists outside the front door,” Starmer told Sky News. “We also, as you know, had protesters outside the front door.”
He added that “any parent would have made the same decision”.
A spokesman for Starmer said the donation was declared on time and as required by parliamentary rules.
Alli has been contacted for comment.
