Newly released government documents have revealed that Sir Keir Starmer was warned in detail about the risks of appointing Peter Mandelson as UK ambassador to the United States, including his “close ties” with convicted paedophile financier Jeffrey Epstein. The papers show that the prime minister was briefed that Mandelson had maintained links with Epstein even after his 2008 conviction for procuring an underage girl, and that the appointment posed a “general reputational risk” for the government.
Despite these warnings, Starmer proceeded with the appointment after his then chief of staff, Morgan McSweeney, and former director of communications, Matthew Doyle—described as a “personal friend” of Mandelson—appeared to give their support. The files also reveal that Mandelson received a £75,000 taxpayer-funded payout after being sacked in September, having initially demanded more than £500,000 to avoid a protracted legal challenge.
The 31 files released by the government did not include correspondence between No 10 and Mandelson regarding follow-up questions about his Epstein relationship, as those exchanges remain subject to an ongoing police investigation into misconduct in public office. Starmer has insisted that Mandelson “lied repeatedly” about the “depth and extent” of his ties to Epstein, but the documents show senior officials had raised concerns earlier.
Conservative leader Kemi Badenoch criticised Starmer’s judgment, stating: “Mandelson reportedly leaked sensitive government documents. Starmer knew Mandelson had stayed close friends with Epstein after the conviction for child prostitution, but made him ambassador anyway. Now we see he paid Mandelson almost £80k of our money. His judgement is shocking.” Labour MP Richard Burgon added that Starmer would not have allowed Mandelson to stand as a council candidate, yet elevated him to a top diplomatic post.
The government defended the payout, with Chancellor of the Duchy of Lancaster Darren Jones telling MPs it was to avoid higher costs from a drawn-out employment tribunal. However, former minister Justin Madders argued that constituents who lied during job applications would have “absolutely no chance” of receiving compensation. A second, potentially more damaging batch of papers is expected once police confirm it will not interfere with their investigation.
