Government Under Fire Over Mandelson's £50,000 Golden Goodbye
The government is facing mounting pressure to recover a substantial £50,000 payoff awarded to Peter Mandelson following his dismissal as US ambassador, a decision directly linked to his controversial associations with the convicted paedophile Jeffrey Epstein. This financial settlement, described as a golden goodbye, has ignited a fierce political debate over taxpayer accountability and ethical governance.
Political Figures Demand Action on Payoff
Work and Pensions Secretary Pat McFadden has publicly urged Lord Mandelson to voluntarily relinquish the payoff, suggesting it be returned or donated to a charity supporting victims of violence against women and girls. McFadden emphasised that the public would likely view accepting such a payment in these circumstances unfavourably, highlighting the moral imperative at stake.
In a stronger stance, Shadow Foreign Secretary Dame Priti Patel has criticised the government for not taking more assertive action. She argued that ministers have a clear duty to taxpayers to actively pursue the recovery of the funds, rather than relying on Mandelson's goodwill. Patel condemned the payout as a disgusting betrayal of Epstein's victims and questioned the judgment of Prime Minister Keir Starmer and his chief of staff, Morgan McSweeney.
Government Response and Ongoing Review
Downing Street has maintained a guarded position, refusing to comment on the specifics of the payoff or any recovery efforts, with a spokesperson characterising it as a human resources matter. However, the Foreign Office has confirmed that Mandelson's employment was terminated in September of last year in accordance with legal advice and standard civil service terms and conditions.
A Foreign Office spokesman stated that normal HR processes were followed but acknowledged that a review has been initiated due to new information and the ongoing police investigation into Epstein-related matters. The exact amount of the payoff remains undisclosed, though estimates suggest it represents three months of salary, based on Mandelson's civil service pay band of £155,000 to £220,000, placing the sum between £38,750 and £55,000.
Background and Revelations
Mandelson's appointment as US ambassador proceeded despite existing public reports of his continued friendship with Epstein, including stays at the financier's New York mansion while Epstein was imprisoned. His dismissal in September followed the release of emails showing Mandelson had encouraged Epstein to contest his conviction for child sex offences, further complicating the situation.
According to a government source, Mandelson initially requested a much larger sum after being sacked just seven months into a four-year contract. The controversy has prompted MPs to vote for the release of tens of thousands of documents related to his appointment and employment, with exact figures expected to be disclosed in the coming weeks.
The issue underscores broader concerns about transparency and accountability in government appointments, with calls for stricter oversight to prevent similar controversies in the future. As the review progresses, the pressure on ministers to secure the return of the payoff is likely to intensify, reflecting public demand for ethical standards in public office.