Labour minister claims Peter Mandelson was 'worth the risk' before Epstein scandal exposed

Keir Starmer’s leadership has been thrown into crisis following the fallout from Lord Peter Mandelson’s connections with convicted sex offender Jeffrey Epstein.

Business Secretary Peter Kyle admitted that No. 10 initially judged Mandelson to be “worth the risk” when appointing him as UK ambassador to the United States, despite his well-documented ties to Epstein. Kyle explained that two separate vetting processes uncovered information already in the public domain, yet Mandelson’s “singular talents” in diplomacy were seen as outweighing the risks.

The situation escalated after private emails surfaced showing Mandelson sending supportive messages to Epstein, even as the disgraced financier faced jail time for sex offences. These revelations led to Mandelson’s dismissal on Thursday.

The controversy has intensified questions about what Keir Starmer personally knew and when. Reports suggest the Prime Minister had been briefed by the Cabinet Office’s ethics team about Mandelson’s relationship with Epstein, including allegations he stayed at Epstein’s property after his conviction. While Mandelson reportedly denied some of these claims, No. 10 insiders accused him of being “economical with the truth.”

The timeline of events is also under scrutiny. According to Kyle, extracts of Mandelson’s emails were shared with Downing Street days before his dismissal, yet Starmer publicly defended him in the Commons. Full publication of the emails by Bloomberg forced No. 10 to act swiftly the following morning, leading to Mandelson’s withdrawal from the ambassadorial role.

Opposition MPs have seized on the scandal. Conservative MP Kevin Hollinrake accused Labour of prioritizing Mandelson’s career over the rights of Epstein’s victims, calling it “a shameful betrayal.” He warned that the government’s handling of the case “raises more questions than it answers” and pledged to demand the release of all relevant documents in Parliament.

Now, Starmer faces mounting political and moral pressure, with critics arguing that the scandal undermines his pledge to restore integrity and transparency in government.