Prince Andrew and Sarah Ferguson will not join the rest of the Royal Family for Christmas at Sandringham, Sky News understands.
It comes after an alleged Chinese spy with links to the Duke of York was publicly named for the first time as High Court restrictions were lifted on Monday afternoon.
Yang Tengbo, previously described as a "close confidant" of the royal, had been known only as "H6" after a court imposed an anonymity order.
But in a statement on Monday the businessman said the "widespread description of me as a 'spy' is entirely untrue".
Last week he lost an appeal over a decision to bar him from entering the UK on national security grounds.
On Friday, Prince Andrew said he "ceased all contact" with the Chinese businessman.
In a statement from his office, the Duke of York said he had cut ties following "advice" from officials but insisted the pair had never discussed anything of a "sensitive nature".
Prince Andrew has been present over the festive period at Sandringham for the last two years. The year before, the late Queen cancelled her traditional visit to the Norfolk estate to remain at Windsor Castle.
Last year, Prince Andrew was seen walking alongside the other royals to church for the family's Christmas Day service at St Mary Magdalene Church.
Sarah, Duchess of York, also joined the Royal Family at church on Christmas Day last year, for the first time in decades.
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