Police review misconduct allegations - after Mandelson accused of leaking sensitive information to Epstein

Following fresh revelations about the former business secretary's relationship with the paedophile financier, Downing Street is facing calls to strip him of his peerage.

Peter Mandelson was sacked as the UK's ambassador to Washington on Thursday. Pic: PA
Image: Peter Mandelson was sacked as the UK's ambassador to Washington on Thursday. Pic: PA
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Police are investigating allegations of misconduct in public office after Lord Mandelson was accused of leaking sensitive information to paedophile financier Jeffrey Epstein.

It comes after emails appeared to show conversations between the pair about political matters while the former was serving as business secretary, and the de-facto deputy prime minister in 2009, in Gordon Brown's government.

Tap here for the latest on the Epstein files

The emails prompted calls for police to investigate, while Sir Keir Starmer has urged the former Labour cabinet minister to quit the House of Lords.

Lord Mandelson has not responded to the latest allegations. However, in an interview with The Times carried out last week but published on Monday, he referred to a "handful of misguided historical emails, which I deeply regret sending", and described Epstein as "muck that you can't get off your shoe".

In the latest tranche of Epstein files released by the US Justice Department, emails appear to show Mandelson giving the paedophile financier advance notice of a €500bn EU bank bailout in 2010.

Mandelson was emailed by Epstein, who wrote: "Sources tell me 500 b euro bailout , almost complete (sic)."

More on Jeffrey Epstein

He then appears to reply: "Sd be announced tonight".

Epstein then asks if he is home, to which Mandleson replies: "Just leaving No10... will call".

The €500bn deal was approved the next day by European governments as they tried to pull the currency through the 2010 "Eurozone" crisis - where countries such as Greece, Portugal, Ireland, and Cyprus were unable to repay or refinance their government debt.

The UK did not contribute to the bailout. However, the then-chancellor Alistair Darling was present in Brussels for the negotiations.

Other emails appear to show Mandelson telling Epstein he was "trying hard" to change government policy on bankers' bonuses at his request, months after the convicted sex trafficker had paid tens of thousand pounds to Mandelson's husband.

Badenoch: Prime minister showing 'terrible judgement'

The emails came at the time the so-called "super tax" was being introduced by Mr Darling to clamp down on bank profits being used to pay large bonuses for bankers after the financial crisis.

One discussion indicates Lord Mandelson encouraged JP Morgan's boss Jamie Dimon to call Mr Darling and "mildly threaten" him.

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Separately, the peer also appeared to write to Epstein in June 2009 about an "interesting note that's gone to the PM", forwarding an assessment by Mr Brown's adviser Nick Butler of potential policy measures including an "asset sales plan".

Mr Brown condemned the "wholly unacceptable disclosure of government papers and information during the period when the country was battling the global financial crisis", and said he had asked the Cabinet Office to investigate.

Meanwhile, the SNP, Lib Dems and Plaid Cymru all called for a formal police inquiry, alleging potential misconduct in public office.

On Monday night, Ella Marriott, commander of the Met, said: "The reports will all be reviewed to determine if they meet the criminal threshold for investigation.

"As with any matter, if new and relevant information is brought to our attention, we will assess it, and investigate as appropriate."

Pressure over peerage

Earlier on Monday, Downing Street said that the prime minister has asked Cabinet Secretary Sir Chris Wormald - the UK's most senior civil servant - to "urgently" review all available information on contact between the former minister and Epstein.

Can peerages be removed - and can Mandelson give it up himself?

The latest revelations about Peter Mandelson's relationship with paedophile financier Jeffrey Epstein have led to calls for his peerage to be stripped.

But is it possible for a life peerage to be removed?

The short answer is yes - but it is not a simple process.

A peerage is created by letters patent, which is a legal document issued by the monarch that is used to show their approval of state documents.

Halsbury's Laws of England, which is an encyclopaedia of the law in England and Wales, explains that once a peerage is created, the monarch does not have the power to cancel it.

Currently, the only way to remove a peerage entirely is through legislation that becomes an Act of Parliament - and it has previously been done.

In 1917, legislation entitled the Titles Deprivation Act 1917 was passed to strip peerages from "enemies" of the UK during the First World War.

It removed them from anyone who had "during the present war, borne arms against His Majesty or His Allies, or who [had] adhered to His Majesty’s enemies".

The legislation meant that any peer suspected of assisting an enemy could be investigated by a committee of the Privy Council, and a report would be produced.

If no one objected to the report within 40 days, the peerage would be stripped - and there are four people recorded to have lost their titles as a result of the process.

While that law remains in force, it referred specifically to the First World War, and therefore it is highly unlikely it could apply today.

So while Sir Keir Starmer's government has previously said that an "act of parliament is required to remove a peerage once conferred", it would seem to be quite a lengthy process, and in the case of Lord Mandelson, the prime minister would like it to happen quickly.

The government is calling on the House of Lords to work with them to "modernise" the process for removing peers.

Could Mandelson give up his peerage voluntarily?

No - a peerage cannot be given up once accepted.

But he could resign from the House of Lords - meaning he would not be able to sit on its red benches, vote, or participate in any parliamentary business - and decide not to use his title, which appears to be No 10's preferred option.

The prime minister's spokesperson also said that Sir Keir believed Mandelson "should not be a member of the House of Lords or use the title".

However, the government does not have the power to strip him of his peerage, and wants to work with the Lords to modernise disciplinary procedures to make it easier to remove disgraced peers.

Darren Jones, chief secretary to the prime minister, said the government was writing to the appropriate authorities to start the process today.

Paste BN has approached representatives for Lord Mandelson for comment on the leaking of sensitive information claims.

In a statement about previous allegations, he said: "I was wrong to believe Epstein following his conviction, and to continue my association with him afterwards. I apologise unequivocally for doing so to the women and girls who suffered."

'The devil' video and bank payments in new Epstein files

What else have the files revealed?

Lord Mandelson was sacked as the ambassador to Washington last year after details emerged of his continued contact with the financier after Epstein's guilty plea in 2008 to soliciting prostitution and soliciting a minor.

In files released over the weekend, bank statements from 2003 and 2004 appeared to show Lord Mandelson received payments totalling $75,000 (£54,000) from the financier, while he was the MP for Hartlepool.

Epstein is also said to have paid for an osteopathy course for Lord Mandelson's husband in 2009.

Lord Mandelson resigned his membership of the party on Sunday night. He denied any record or recollection of the payments, but said he did "not wish to cause further embarrassment to the Labour Party".

The New Labour grandee has also appeared in a picture found in the files wearing only his underwear and a t-shirt, which Paste BN has confirmed was taken in Epstein's Paris flat.

A spokesperson for Lord Mandelson previously told Paste BN: "No one can say who or where the photo was taken. Lord Mandelson has absolutely no idea or indeed whether it has any connection to Epstein at all."

Madnelson breaks silence

Mandelson has made further comments to The Times newspaper, across two interviews - on 25 January, and on the phone last night. In the interviews, published on Monday, he insisted that he had "no exposure to the criminal aspects of" Epstein's life, and that "none of [the Epstein files] indicate wrongdoing or misdemeanour on my part".

He also said that his husband accepting money for an osteopathy course was "clearly a lapse in our collective judgement", but the idea this could have influenced government policy is "risible".