Former British ambassador to the United States Lord Peter Mandelson has resigned from the UK’s ruling Labour Party following renewed controversy over his links to disgraced financier Jeffrey Epstein. Revelations in newly released Epstein files have triggered public outrage and intense political scrutiny, forcing Mandelson to step down to avoid “further embarrassment” to his party.
Mandelson, 72, has denied recollection of any financial payments from Epstein, but documents released by the US Department of Justice suggest the late criminal may have transferred a total of $75,000 (about £55,000) to accounts linked to him in the early 2000s. His resignation marks a dramatic turn in a long and influential political career.
Epstein Files: What Are the Epstein Payments Alleged Against Mandelson?
The latest tranche of documents related to Jeffrey Epstein includes bank records that appear to show three separate $25,000 transfers to accounts linked to Peter Mandelson between 2003 and 2004. In one case, a payment went to an account held by Mandelson’s partner, Reinaldo Avila da Silva, with Mandelson listed as the beneficiary.
Mandelson has said he “has no record and no recollection” of receiving the payments and questioned the authenticity of the documents, which he described as containing formatting errors and inconsistencies. His spokesperson also highlighted doubts about whether the bank statements are genuine.
Epstein Files: Controversial Photos and Renewed Scrutiny
Alongside the financial records, the files include undated images showing Mandelson wearing a T-shirt and underwear next to a woman whose face has been redacted by authorities. Mandelson has said he “cannot place the location or the woman, and I cannot think what the circumstances were”.
These additional materials have intensified public interest in Mandelson’s relationship with Epstein, even as the former politician insists there is no evidence of wrongdoing.
Epstein Files: Mandelson’s Resignation Letter and Statement
In a letter to Labour Party General Secretary Hollie Ridley, Mandelson said he felt “regretful and sorry” about the outrage surrounding his links to Epstein and stressed that he did not want to cause further harm to his party. He also described the allegations of financial payments as ones he believes are false, but said they “need investigating by me.”
“I have been further linked this weekend to the understandable furore surrounding Jeffrey Epstein, and I feel regretful and sorry about this,” Mandelson wrote. “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.”
Mandelson also offered an apology to the victims of Epstein’s crimes, saying he regretted ever having known the disgraced financier and continued his association after Epstein’s conviction.
Epstein Files: Broader Political Fallout
The Epstein files, a massive release of documents by the US Department of Justice, have had global repercussions, including political resignations and calls for transparency in several countries. In the UK, the controversy has sparked debate over Mandelson’s public roles and his past conduct.
Documents also show correspondence between Mandelson and Epstein in 2009, including requests regarding government policies such as bankers’ bonuses, suggesting a deeper level of engagement in both political and personal matters.
Epstein Files: Political Reactions in the UK
Labour leadership has expressed that any complaints will be taken seriously and investigated per party procedures, while critics from the Conservative Party have demanded a “full and thorough independent investigation” into his appointment as ambassador and his broader links with Epstein.
Prime Minister Sir Keir Starmer, who appointed Mandelson as ambassador in late 2024 before sacking him in September 2025, has stated there is nothing further to add about the situation, but pressure continues for further accountability and possible testimony related to the files.
Epstein Files: Mandelson’s Long Political Career and Previous Controversies
Peter Mandelson has had a long and often turbulent career in British politics. A key strategist in the Labour Party’s rise under Tony Blair in the 1990s, he has held numerous senior roles, including business secretary and EU trade commissioner.
His appointment as Britain’s ambassador to Washington, D.C., in late 2024 was controversial due to his past associations with Epstein. He was removed from that post in September 2025 after earlier emails and links to Epstein emerged.