Until the ugly aftermath of the death of Diana, Princess of Wales and her lover, Dodi Fayed, Harrods had been the proud holder of continuous royal warrants since 1913.
Mohammed Al Fayed commissioned the bronze statue, depicting his son and Diana dancing, after the two were killed in a Paris vehicle crash in 1997.
But its new owners were acutely aware that as long as the controversial, three-metre high bronze statue of the pair, entitled Innocent Victims, remained on the lower ground floor, there was little chance of regaining that honour.More news: Has $5.20 Million Holdings in Facebook Inc (NASDAQ:FB)
It was commissioned by Mohamed Al Fayed, who owned Harrods at the time but sold it to the Qatar Investment Authority in 2010.
Harrods lost its royal warrant in 2000, thanks to a "significant decline in the trading relationship over several years".
The Queen had also dropped Harrods as her provider of Christmas puddings in favour of Tesco.More news: Top honchos exit Disney board
It was not clear when it would be removed from the basement of Harrods, or whether Fayed would seek to keep the statue on public display.
With its removal, the Qatari royal family are hoping that Harrods can once again become a preferred shopping venue for the royals, according sources cited by The Telegraph.
This news follows Prince William and Prince Harry's own announcement that have asked renowned artist Ian Rank-Broadley to create the memorial statue of their mother, to be displayed at Kensington Palace.More news: What is the Tide pod challenge and how did it start?
When the statue was unveiled, Fayed said it was a more "fitting tribute" to Diana than the official memorial fountain in Hyde Park that he described as a "sewer".