Minister Demands Mandelson Return Payoff After Epstein-Linked Sacking
Minister: Mandelson Must Return Payoff After Epstein Sacking

Cabinet Minister Calls for Mandelson to Return Payoff After Epstein Scandal

Lord Peter Mandelson should hand back the substantial payoff he received after being sacked as ambassador to the United States, or alternatively donate the funds to a victims' charity, according to a senior Cabinet minister. Work and Pensions Secretary Pat McFadden has publicly demanded that the disgraced peer return the taxpayer-funded sum, which is believed to run into tens of thousands of pounds.

Sacking Over Epstein Links and Information Leaks

The peer was dismissed from his prestigious diplomatic role due to his relationship with the convicted child sex offender Jeffrey Epstein. However, outrage in Westminster has escalated significantly following the recent release of documents. These papers indicate that Lord Mandelson leaked market-sensitive government information to Epstein while serving as a minister during the global financial crisis.

Mr McFadden, who was Lord Mandelson's deputy at the time, expressed profound personal dismay. "I felt a mixture of bewilderment, anger and betrayal," he stated, reflecting on the correspondence between his former boss and Epstein. "It's possible to have quite a close political relationship with someone, and there are sides of their life that you don't know about and have no involvement in."

Leadership Crisis and Calls for Starmer's Resignation

The scandal surrounding Lord Mandelson's appointment has triggered intense political fallout, including direct calls for Prime Minister Sir Keir Starmer to resign. Fire Brigades Union general secretary Steve Wright articulated the growing sentiment, remarking that "everybody's thinking it" regarding the demand for a change in leadership.

Mr McFadden, a close ally of Sir Keir, firmly rejected these demands. He argued that ousting the Prime Minister would unleash "chaos and uncertainty" both economically and politically, damaging Britain's international reputation. Defending the party's commitment to moving beyond Tory sleaze, the Cabinet Minister emphasised the need for stable leadership.

"Maybe one way we can be different is to not drop the pilot after 18 months and to stick with a leader and have consistency in leadership," Mr McFadden told Sunday political programmes. "I think he's got a five-year mandate, which was just voted for 18 months or so ago in a general election. His task is by no means complete, barely begun."

Internal Party Tensions and Criticism

Despite Mr McFadden's staunch defence, criticism has mounted from within the government's own ranks. FBU chief Steve Wright accused the Prime Minister of not heeding advice from elected colleagues. "Unfortunately we're seeing MPs being wheeled out again today to sweep up the mess behind the Prime Minister at the moment," Mr Wright said. "He's listening to a factional group which are making bad decisions, it seems."

Allies of Deputy Prime Minister David Lammy and Angela Rayner, who is seen as a potential successor to Sir Keir, have suggested they opposed Lord Mandelson's appointment. Mr McFadden responded tersely to these interventions, stating, "They're over 21, you know, they'll have to answer for themselves on what they're saying."

Denials and Deflections Over Appointment Blame

Mr McFadden denied any prior knowledge of Lord Mandelson's friendship with Epstein, despite their close professional history. He also dismissed calls for the sacking of Sir Keir's chief of staff, Morgan McSweeney, whom many blame for orchestrating the controversial ambassadorial appointment. The Work and Pensions Secretary argued this was "beside the point", as the ultimate decision rested with the Prime Minister.

Colleagues who privately warned Sir Keir against the Washington appointment "have to answer for themselves", Mr McFadden added. The minister confirmed he did not discuss the payoff demand with Sir Keir directly but reiterated that the Prime Minister "has acted in good faith throughout this" and is "horrified" by the Epstein revelations.