--- ---  # Starmer Was Warned of ‘Reputational Risks’ Over Mandelson’s Epstein Ties, Newly-Released Files Show by [Callum Sutherland](/author/callum-sutherland/) ## Callum Sutherland Reporter Mar 11, 2026 7:42 PM CUT  Peter Mandelson with British Prime Minister Keir Starmer at the official ambassador's residence in Washington, D.C. on Feb. 26, 2025. Peter Mandelson with British Prime Minister Keir Starmer at the official ambassador's residence in Washington, D.C. on Feb. 26, 2025.Carl Court—Getty Images by [Callum Sutherland](/author/callum-sutherland/) ## Callum Sutherland Reporter Mar 11, 2026 7:42 PM CUT British Prime Minister Keir Starmer was warned of the “reputational risks” associated with Peter Mandelson over his relationship with late convicted sex offender Jeffrey Epstein when considering his appointment as ambassador to the U.S. According to [files released by the U.K. government ](https://assets.publishing.service.gov.uk/media/69b13135cdd628b29e3495f8/V1%5FFINAL.pdf "undefined")Wednesday, Starmer was sent a “due diligence checklist” in early December 2024, detailing said risks. Despite the flagged items, Mandelson's appointment was announced on [Dec. 20](https://www.gov.uk/government/news/appointment-of-lord-mandelson-as-the-next-british-ambassador-to-the-united-states-of-america "undefined") that year, and he started his position in February 2025. The checklist cited a 2019 report commissioned by JPMorgan, which said Epstein appeared to “maintain a particularly close relationship” with two high-profile British public figures—Mandelson and the[ former Prince Andrew](https://time.com/7379650/andrew-mountbatten-windsor-arrested-prince-epstein-files-police-statement/ "undefined"). “After Epstein was first convicted of procuring an underage girl in 2008, their relationship continued across 2009-2011, beginning when Lord Mandelson was \[U.K.\] Business Minister and continuing after the end of the Labour government,” read the document. “Mandelson reportedly stayed in Epstein's house while he was in jail in June 2009.” In May last year, Mandelson was asked if he had stayed at Epstein’s residence. “I'm not answering any questions about him. My knowledge of him is something I regret. I wish I'd never met him in the first place,” [he told Sky News](https://news.sky.com/story/flatplan-13375588? "undefined"). “He was a prolific networker and I wish I’d never met him.” The checklist also noted a connection between Mandelson and Epstein’s long-time associate Ghislaine Maxwell, who is currently serving a 20-year sentence for conspiring with Epstein to sexually abuse minors. “In 2014, Mandelson also agreed to be a ‘founding citizen’ of an ocean conservation group founded by Ghislaine Maxwell, and funded by Epstein,” read the document. Mandelson has since reportedly stated that he has “no recollection of this.” A previous statement from Mandelson’s then-spokesperson in response to the 2019 JPMorgan report was included in the advice sent to Starmer. “Lord Mandelson very much regrets ever having been introduced to Epstein. This connection has been a matter of public record for some time. He never had any kind of professional or business relationship with Epstein in any form,” they claimed. According to correspondence released in the so-called Mandelson files, Starmer’s then-director of communications was "satisfied with \[Mandelson’s\] response to questions about contact” with Epstein. Outside of Mandelson’s relationship with the disgraced financier, the checklist also warned of a “general reputational risk” surrounding the former Labour lawmaker’s “previous departures from the New Labour Government, both relating to financial matters, including high-profile donors to government.” Mandelson resigned on two separate occasions under former Prime Minister Tony Blair. In 1998, [he resigned](https://www.theguardian.com/politics/2001/jan/24/labour.labour1997to99 "undefined") as trade and industry secretary after a secret loan from a fellow minister was revealed. In 2001, he resigned again, this time from his position as Northern Ireland minister, over allegations of misconduct related to a passport application for the Hinduja brothers. An inquiry later [cleared him ](https://www.theguardian.com/politics/2001/mar/09/mandelson.labour "undefined")of wrongdoing. Starmer is now, once again, facing scrutiny as to why he opted to appoint Mandelson in the position. Speaking in parliament on Wednesday, Darren Jones, chief secretary to Starmer, said “the Prime Minister deeply regrets taking him at his word. It was a mistake to do so.” He went on to describe his own “disgust and horror” at the extent of Mandelson’s relationship with Epstein, which continued after the disgraced financier’s initial conviction. Jones confirmed further documents related to Mandelson are set to be released following the conclusion of the ongoing police investigation, after Mandelson was arrested in February on suspicion of misconduct in public office. ### How probe into Epstein ties led to Mandelson’s arrest Once a prominent figure in the U.K.'s ruling Labour Party, Mandelson was sacked as ambassador in September 2025, just months after his appointment, following disclosures from a former batch of Epstein files that showed his relationship with the financier extended beyond what he’d previously disclosed. But a final batch of files released by the U.S. Department of Justice in January proved even more damning. Correspondence appeared to show [Mandelson might have leaked ](https://time.com/7372763/epstein-files-united-kingdom-peter-mandelson-prince-andrew-starmer/ "undefined")sensitive government information to Epstein when he served as Business Secretary under former U.K. Prime Minister Gordon Brown from 2008 to 2010. In one resurfaced [email](https://www.justice.gov/epstein/files/DataSet%2011/EFTA02433147.pdf "undefined"), he appeared to tell Epstein he would lobby other government officials in an effort to reduce a tax on bankers’ bonuses. [In another](https://www.justice.gov/epstein/files/DataSet%209/EFTA00775718.pdf "undefined"), he appears to have forwarded an internal government report to Epstein which showed ways the U.K. might raise funds after the 2008 financial crisis. Mandelson also appears to have tipped off Epstein that Brown would be resigning in 2010, and that the E.U. would announce a €500 billion bailout to stem the Greek debt crisis. Other documents appear to show financial [transfers](https://www.justice.gov/epstein/files/DataSet%2010/EFTA01487808.pdf "undefined") totalling $75,000 from Epstein to accounts linked to Mandelson or his partner, Reinaldo Avila da Silva. Mandelson has [reportedly](https://news.sky.com/story/pressure-grows-on-mandelson-to-testify-over-epstein-as-peer-is-told-this-is-the-end-13501842 "undefined") said that he doesn’t recall receiving the money. The authorities opened a criminal [investigation](https://news.met.police.uk/news/investigation-launched-into-alleged-misconduct-in-public-office-505806 "undefined") into Mandelson on Feb. 3 and he was arrested by Metropolitan Police on suspicion of misconduct in public office on Feb. 23\. He was taken to a London police station for questioning and released on bail hours later. He has since been released from his bail conditions, his lawyers said, but he remains under investigation. Mandelson’s law firm, Mishcon De Reya, claimed his arrest was prompted by a “baseless suggestion” that he was a flight risk. House of Commons Speaker Lindsay Hoyle later confirmed, after information was leaked, that it was he who gave information to the police suggesting Mandelson could be a flight risk. **Read More:** [_Mandelson’s Lawyers Say His Arrest Was Prompted by ‘Baseless Suggestion’ He Was a Flight Risk_](https://time.com/7380534/peter-mandelson-arrested-epstein-files-fallout/ "undefined") ### Backlash for Starmer over his appointment of Mandelson In early February, at the height of the fallout from the final batch of Epstein files, Starmer faced calls to resign, but he refused to do so and forged ahead with the backing of his Cabinet. However, two key members of Starmer's team—chief of staff Morgan McSweeney and director of communications Tim Allan—stepped down amid the controversy. Following a tense debate in parliament, where Starmer was criticized for giving Mandelson the ambassador role despite knowing of his Epstein ties to some extent, the government agreed to publicize all files relating to the contentious appointment. 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