A 'weirdly rushed' appointment - and other key takeaways from Mandelson files

Government documents running to 147 pages have revealed new details about the appointment of Lord Mandelson as the UK's ambassador to the US and the fallout from his sacking last year.

It's the first release of files related to the process to hire and later fire Lord Mandelson, after MPs forced the government to disclose the files.

Lord Mandelson was sacked as ambassador last year after revelations emerged about his friendship with the late convicted sex offender Jeffery Epstein.

The peer is under criminal investigation over allegations of misconduct in public office and has repeatedly let it be known that he believes he has not acted criminally, did not act for personal gain and is co-operating with the police.

Here are the key details from the first batch of documents.

Keir Starmer was warned of reputational risks

The documents show that Prime Minister Sir Keir Starmer was advised that Lord Mandelson's relationship with Epstein posed a "general reputational risk" ahead of his confirmation as US ambassador.

In an advisory note sent to the prime minister on 11 December 2024, nine days before he was confirmed as ambassador, other reputational risks flagged to the prime minister included Lord Mandelson's previous sackings from government.

The prime minister has maintained he did not know "the extent and depth" of Lord Mandelson's relationship with Epstein when he appointed him.

But given what this advisory note says, the prime minister is likely to face questions about his judgement.

Mandelson asked for £500k payout

Civil servants, such as those employed in ambassadorial roles, can be eligible for severance packages when their employment is terminated.

The documents suggest that Lord Mandelson requested a severance payment of more than £500,000 after being sacked as the UK's ambassador to the US.

The claim has been repeated by Darren Jones, the chief secretary to the Prime Minister, in the House of Commons.

Jones said the government found that demand to be "inappropriate and unacceptable".

The BBC understands Lord Mandelson takes issue with the claim and insists he made it very clear he had no intention of taking his case to an employment tribunal.

The Treasury ultimately agreed a payment of £75,000.

One email from the documents, written by an official, says the government did "well to get this settlement down this low with minimal fuss".

Senior adviser thought appointment was 'weirdly rushed'

Elsewhere in the documents, the prime minister's national security adviser, Jonathan Powell, said he found the appointment of Lord Mandelson "weirdly rushed".

Powell is noted as having raised concerns "about the individual and reputation" to Sir Keir's former chief of staff Morgan McSweeney.

Powell worked extensively alongside Lord Mandelson, primarily as chief of staff to the prime minister during Tony Blair's premiership from 1997 to 2007.

He is now a powerful adviser to Sir Keir and his opinion would have carried some weight in government during the appointment process. There is no suggestion of wrongdoing by Lord Mandelson.

We don't know what we don't know

Remember, this is just the first of a number of releases expected in the coming weeks and months.

Officials are combing through thousands of documents and today's material could be the tip of the iceberg.

Speaking in the Commons, Jones said the Metropolitan Police had asked the government not to publish certain documents in order not to prejudice its criminal investigation into Lord Mandelson.

Lord Mandelson was arrested last month on suspicion of leaking sensitive government information while serving as business secretary during the last Labour government.

Lord Mandelson has not responded to requests for comment but the BBC understands his position is that he has not acted in any way criminally and that he was not motivated by financial gain.

One notable absence from this first batch of documents is one vetting exchange involving three questions that McSweeney, Sir Keir's former chief of staff, asked Lord Mandelson regarding his ties to Epstein.

Sir Keir has claimed the documents will show Lord Mandelson lied to him about the extent of his friendship with Epstein, which continued after he had been convicted in 2008.

The BBC understands Lord Mandelson's view is that he answered questions about his relationship with Epstein in the vetting process accurately.

Jones told MPs these matters were "at heart of the police investigation".

He said all documents in scope for release would be published in the future.