London, United Kingdom. A political and institutional crisis has escalated in the United Kingdom following revelations of secret electronic communications between Lord Peter Mandelson and the late convicted sex offender Jeffrey Epstein. The Metropolitan Police said it has searched two properties linked to Mandelson as part of an investigation into alleged leaks of sensitive government information.
Police investigation and alleged leak
The investigation centers on claims that Mandelson, while serving as Business Secretary in Gordon Brown’s cabinet in 2008, leaked market-sensitive information to Epstein. Documents suggest the two discussed Treasury plans for a one-off tax on bankers’ bonuses.
The Metropolitan Police said searches were conducted at properties linked to Mandelson in London and Wiltshire following allegations of “misconduct in public office and the exploitation of confidential information.” Authorities are examining whether the information provided Epstein with an unfair advantage during the peak of the 2008 financial crisis.
Police said the initial searches are complete and no arrests have been made. They described the inquiry as a “complex investigation” requiring extensive data analysis.
Political fallout for Starmer and Mandelson
The scandal has increased pressure on Prime Minister Keir Starmer, who appointed Mandelson as the UK Ambassador to the US in 2024 despite Mandelson’s known relationship with Epstein. Mandelson has since resigned from the Labour Party and the House of Lords.
Addressing Parliament, Starmer said: «Mandelson betrayed our country, our Parliament, and my party.» Starmer has faced calls to resign from opposition and some Labour MPs over the decision to proceed with the diplomatic appointment.
Brown’s reaction and calls for reform
Former Prime Minister Gordon Brown, who brought Mandelson back into government in 2008, said he felt “shocked, saddened, angry, betrayed, and disappointed,” speaking to BBC Radio 4’s Today programme.
Brown described Mandelson’s actions as an “economic crime” and “a betrayal of everything we stand for as a country.” He said the leaked information “put Britain at risk” and “put the currency at risk,” and could have caused major commercial damage through speculative trading.
Brown also called for immediate “constitutional reform” to address corruption in the House of Lords, urging the government to “bring in light and remove the princes of darkness.” He defended Starmer’s decision to appoint Mandelson as ambassador, saying both he and Starmer were “misled, betrayed, and deceived” by Mandelson.
What impact could the police investigation have on the government’s approach to appointments and oversight?