LONDON, Feb 3 - British police have opened an investigation into Peter Mandelson, the former UK ambassador to the United States and a senior figure in past Labour governments, following allegations that he passed market-sensitive material to the late financier Jeffrey Epstein.
The Metropolitan Police said in a statement that it had begun assessing reports of misconduct in public office. That assessment includes material provided by the British government, which referred the matter to officers for further examination. Police Commander Ella Marriott said the Met "will continue to assess all relevant information brought to our attention as part of this investigation and won’t be commenting any further at this time."
Prime Minister Keir Starmer’s administration supplied documents to the police to determine whether Mandelson leaked information to Epstein during the period of the financial crash. Starmer told ministers on Tuesday that the allegations of leaks were "disgraceful." Within hours of the government making that information public, Mandelson announced he would retire from the House of Lords.
The investigation centres on emails and documents released in recent disclosures related to Epstein. Those files suggest that in 2009 Mandelson sent Epstein a memorandum prepared for former Prime Minister Gordon Brown about potential UK asset sales and tax changes, and that in 2010 he notified Epstein in advance of a 500-billion-euro ($590 billion) European Union bailout. The emails form part of the material the Met is now reviewing.
Mandelson, who played a leading role in the Labour administrations of Tony Blair and Gordon Brown more than twenty years ago, faces the possibility of criminal charges after the messages were made public. The Times reported that officers were expected to interview Mandelson and to take statements from senior Labour figures, including former Prime Minister Brown.
A government spokesperson said officials were "ready to provide whatever support and assistance the police need." The referral followed the release of millions of documents that have raised new questions about Mandelson’s relationship with Epstein and included suggestions of payments to Mandelson and his husband.
Mandelson, 72, was dismissed from his post as ambassador in September, seven months into the appointment, after documents showed he had maintained a closer relationship with Epstein than he had previously acknowledged. One message appears to have encouraged Epstein to contest the earlier conviction for procuring a child for prostitution and to seek early release.
On Sunday, Mandelson resigned from the Labour Party to avoid "further embarrassment" after the latest tranche of documents set out details of his ties to Epstein. In an interview with The Times published on Tuesday, Mandelson described Epstein as a "master manipulator" and said: "I’ve had a lot of bad luck, no doubt some of it of my own making."
A spokesperson for Mandelson said he had no recollection of financial payments totalling $75,000 from Epstein, a figure cited in some of the released material and media reporting.
Starmer told his cabinet he was not reassured that all relevant information had yet emerged, according to a Downing Street spokesperson. Those comments represented the strongest public condemnation so far from the prime minister toward Mandelson, whom he had appointed ambassador despite Mandelson’s known association with Epstein, who died in custody in 2019.
The controversy has prompted scrutiny of the decision to appoint Mandelson as ambassador rather than a career diplomat. That move was reportedly advocated by Starmer’s chief of staff, Morgan McSweeney. In parliament, Labour MP Clive Efford asked who advised the prime minister on the appointment.
Starmer has ordered an internal review into Mandelson’s contacts with Epstein while Mandelson served in the Brown government. Brown said he had previously asked officials in September to look into the matter but had been told there were no departmental records. Following the release of the new material, Brown requested a "wider and more intensive inquiry to take place."
Separately, Thames Valley Police said they were reviewing a fresh allegation involving the former Prince Andrew. A Thames Valley spokesperson said the force was aware of claims that a woman was taken to an address in Windsor in 2010 for sexual purposes. The woman’s lawyer told the BBC over the weekend that the woman, who is not British, was in her 20s at the time and was allegedly sent to Britain by Epstein for an encounter with Mountbatten-Windsor.
Prince Edward, described in public comments as Andrew’s younger brother, was asked about the situation while attending a meeting in Dubai. He said: "It’s really important always to remember the victims," echoing previous statements from King Charles and Queen Camilla.
Thames Valley Police added: "We are assessing the information in line with our established procedures," and stressed that the force takes reports of sexual crimes extremely seriously. The statement reiterated that a review does not necessarily lead to an investigation.
This unfolding matter touches multiple institutions and raises questions about ministerial conduct, diplomatic appointments, and the handling of potentially market-sensitive information. The Met’s inquiry remains at an assessment stage and police officials have indicated they will not provide further comment while reviewing the material provided by the government and other sources.
As the investigation continues, the government has pledged cooperation with police requests. The outcomes of interviews and any further lines of inquiry have not been disclosed publicly, and officials have acknowledged uncertainty about whether all pertinent information has yet been revealed.
($1 = 0.8477 euros)