Lord Mandelson has quit the Labour Party claiming he doesn’t want to “cause further embarrassment” over his ties to late convicted pedophile Jeffrey Epstein.
The ex-cabinet minister, who was kicked out of his role as US ambassador last year due to his historic links to Epstein, featured in the most recent batch of documents released by the US Department of Justice on Friday.
The files appear to indicate Epstein transferred $75,000 (£55,000) to Lord Mandelson across three separate $25,000 payments in 2003 and 2004.
Mandelson says allegations need investigating
In his letter to Labour’s general secretary, Lord Mandelson said: “I have been further linked this weekend to the understandable furore surrounding Jeffrey Epstein and I feel regretful and sorry about this.”
He added: “Allegations which I believe to be false that he made financial payments to me 20 years ago, and of which I have no record or recollection, need investigating by me.”
“While doing this I do not wish to cause further embarrassment to the Labour Party and I am therefore stepping down from membership of the party.”
“I want to take this opportunity to repeat my apology to the women and girls whose voices should have been heard long before now.”
“I have dedicated my life to the values and success of the Labour Party and in taking my decision, I believe I am acting in its best interests.”
Lord Mandelson stated earlier on Sunday he had no memory or documentation of the three Epstein payments and couldn’t confirm if the papers were genuine.
He repeated his regret for “ever having known Epstein” and for continuing his association following the disgraced financier’s conviction, apologising “unequivocally to the women and girls who suffered.”
Sacked as ambassador after revelations emerged
Lord Mandelson was dispatched to Washington by Prime Minister Sir Keir Starmer in December 2024 as the UK’s ambassador, but was sacked the following September after further revelations emerged about his friendship with Epstein, reports BBC News.
Messages showed he’d stayed in touch with Epstein following the US financier’s 2008 conviction, dispatching a series of supportive messages.
Photos of the former UK ambassador to the US in his underwear have also surfaced in the latest batch of Epstein documents.
A censored image shows him positioned beside a woman whose face isn’t shown.
Lord Mandelson has said he “cannot place the location or the woman and I cannot think what the circumstances were.”
When or where the photos of Lord Mandelson and the woman were captured remains unknown.
Appearing in the documents or photos doesn’t suggest criminal activity.
Emails show attempt to change tax policy
Meanwhile, emails in the files released on Friday also show Lord Mandelson tried to change government policy on a planned tax on bankers’ bonuses, following requests from Epstein.
“Trying hard to amend,” Lord Mandelson wrote to Epstein in December 2009. “Treasury digging in but I am on [the] case.”
Lord Mandelson held the position of business secretary under Gordon Brown’s government during this period.
Lord Mandelson has told the BBC that every UK and international bank was making the same argument about the impact on UK financial services, adding: “My conversations in government at the time reflected the views of the sector as a whole not a single individual.”
Bank statements show three payments
The just-released bank records, initially reported by the Financial Times, seem to display three distinct transactions mentioning Lord Mandelson, who served as Labour MP for Hartlepool at the time, originating from Epstein’s JP Morgan bank accounts.
The opening entry, dated 14 May 2003, reveals a transfer was dispatched to a Barclays bank account where Reinaldo Avila da Silva – Lord Mandelson’s partner at the time – is named as “A/C”, typically an abbreviation for account.
In that payment, a “Peter Mandelson” is named on the account as “BEN”, which is often an abbreviation for beneficiary.
Two additional $25,000 transfers went to HSBC accounts just days apart in June 2004. Both transactions list only “Peter Mandelson” as “BEN”.
Whether the three transfers actually reached any of the referenced accounts remains uncertain.
Epstein struck a plea deal in Florida that resulted in his 2008 conviction. He received an 18-month prison sentence after admitting guilt to two charges, including soliciting girls as young as 14 for prostitution.
Epstein was found dead in a New York jail cell in 2019 whilst awaiting trial on sex trafficking charges.
