Mandelson resigns from Labour party over links to Jeffrey Epstein

Housing minister Steve Reed says Peter Mandelson has ‘moral obligation’ to share what he knew about disgraced financier

Emails and other documents released shed new light on the closeness of the relationship between Jeffrey Epstein and Peter Mandelson. Photograph: Eric Lee/The New York Times
Emails and other documents released shed new light on the closeness of the relationship between Jeffrey Epstein and Peter Mandelson. Photograph: Eric Lee/The New York Times

Peter Mandelson has resigned his membership of the British Labour Party saying he does not wish to cause it “further embarrassment” over his links to Jeffrey Epstein.

In a statement on Sunday night he said he had written to the general secretary of the Labour Party, Hollie Ridley. His letter said: “I have been further linked this weekend to the understandable furore surrounding Jeffrey Epstein and I feel regretful and sorry about this.

“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.”

Earlier a UK government minister said he should testify before the US Congress about his links to Epstein, as documents appeared to show the late child sex offender sent the former US ambassador $75,000 (€63,290).

Emails and other documents released by the US justice department shed new light on the closeness of the relationship between Epstein and Mandelson.

Bank statements appear to show three separate payments of $25,000, referencing the former UK business secretary and MP, being sent from Epstein’s JP Morgan bank accounts.

Contacted about the statements earlier, Mandelson had said: “I have no record and no recollection of receiving these sums and do not know if the documents are authentic.”

Mandelson reiterated that he had been wrong to believe Epstein and continue his association with him, adding: “I deeply regret doing so and apologise unequivocally to the women and girls who suffered.”

On Sunday the housing, communities and local government secretary, Steve Reed, said Mandelson, who was sacked as British ambassador to Washington last year, had “a moral obligation” to share what he knew about the disgraced financier.

He told Sky News anyone with information or evidence should share it “whether that is Andrew Mountbatten-Windsor, whether it’s Lord Mandelson, or whether it’s anybody else”, adding: “[T]hey have a moral obligation to share what they knew so that the victims can help find the justice that they’ve been denied for so long.”

But Reed refused to be drawn on whether Mandelson should possibly be stripped of his peerage. “I think before taking any action like that, we need to understand exactly what’s happened,” he said.

Pressure is mounting on British prime minister Keir Starmer to take action to block any return of Mandelson to the Lords as a Labour peer, after the emails released on Friday also appear to show the then business secretary assuring Epstein in December 2009 that he was “trying hard” to change government policy on bankers’ bonuses at his request.

Jeffrey Epstein sent thousands of pounds to Peter Mandelson’s husband, emails showOpens in new window ]

A statement relating to the apparent $75,000 payment dated May 14th, 2003, and first reported by the Financial Times shows a payment sent to a Barclays Bank account where Mandelson’s then partner, Reinaldo Avila da Silva, is named as “A/C”, typically an abbreviation for account. “Peter Mandelson” is named on the account as “BEN”, often an abbreviation for beneficiary.

The second and third payments of $25,000 appear to have been made to HSBC accounts, days apart in June 2004. In both, “Peter Mandelson” is identified as “BEN”.

It is unclear if the three payments ever made it into any of the named accounts and being named or pictured in the files is not an indication of wrongdoing.

Sources close to Mandelson said the statements could not be taken at face value and contained errors. They said the US justice department had previously stated that the Epstein files may contain false images, documents or videos.

In emails also released on Friday, Mandelson, then a cabinet member of Gordon Brown’s government, appears to agree to try to change government policy on taxing bankers’ bonuses.

In an email exchange on December 15th, 2009, in which email addresses are redacted, Epstein asked Mandelson if the policy could be changed, writing: “Any [sic] real chance of making the tax only on the cash portion of the bankers bonus.” Mandelson replied: “Trying hard to amend as I explained to Jes last night. Treasury digging in but I am on case.”

Documents that were included in the US department of justice release of the Jeffrey Epstein files. Photograph: Jon Elswick/AP
Documents that were included in the US department of justice release of the Jeffrey Epstein files. Photograph: Jon Elswick/AP

The emails came months after correspondence appeared to show that Mandelson’s husband, da Silva, had successfully asked the financier to pay him £10,000 in September 2009 to fund an osteopathy course and other expenses.

Returning from a trip to China, the prime minister was asked whether a £10,000 payment to Mandelson’s partner at a time when he was a Labour business secretary fell far from the standards he expected of a peer.

“In relation to Peter Mandelson, obviously he was removed as ambassador in relation to the further information that came to light in September of last year,” Starmer said. “I’ve nothing more to say in relation to Peter Mandelson.”

Mandelson should now offer to give evidence to the US Congress, said the Liberal Democrat MP Christine Jardine, a member of the women and equalities select committee. “I think anyone who has any knowledge of what Epstein was doing has a moral responsibility to his victims to help the authorities in any way they can,” she said. “The public also has a right to hold its politicians to a certain standard and we must ensure that happens in this absolutely disgusting situation.”

Starmer said on Saturday that Mountbatten-Windsor, the former Prince Andrew, should testify before ‍a US congressional committee, following new revelations about his links to Epstein in the files.

Andrew ‘should be prepared’ for Congress inquiry, Starmer says after Epstein files dumpOpens in new window ]

They included ‍emails that showed Mountbatten-Windsor maintaining regular contact with Epstein for more than two years after he was found guilty of child sex crimes.

The files also include pictures appearing to show Mountbatten-Windsor crouching over and touching the waist of an unidentified woman lying on the floor. Her face was blacked out in the redacted images.

Epstein died by suicide in 2019 in a Manhattan jail while awaiting trial on sex trafficking charges. He was jailed in 2008 for soliciting ⁠paid sex from a minor.

In several emails, Epstein and Mountbatten-Windsor discuss women that the financier proposes to put in touch with the prince. In one email, Epstein offered to bring three women to Buckingham Palace. - The Guardian

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