MPs back plan to release Mandelson files after Labour anger forces climbdown

MPs have approved the release of documents about Lord Mandelson's appointment as UK ambassador to the US, following a backlash from Labour backbenchers.

It comes after Sir Keir Starmer had insisted he would not publish information that could damage national security or UK diplomatic relations.

But after senior Labour MPs, including Angela Rayner, urged ministers to change course, they were forced to agree to involve a cross-party parliamentary committee in the process.

Sir Keir was under pressure to disclose the papers, after police launched a criminal investigation into claims Lord Mandelson passed sensitive government information to disgraced financier Jeffrey Epstein.

The prime minister sacked Lord Mandelson as ambassador last year after new revelations about his friendship with Epstein came to light.

Emails showed the peer had sent supportive messages to Epstein as he faced jail in 2008 for soliciting prostitution from a minor.

At Prime Minister's Questions, Sir Keir said he was aware of the former business secretary's ongoing friendship with Epstein, a convicted paedophile, when he appointed him.

A Downing Street spokesperson said Lord Mandelson had "lied to the prime minister, hid information that has since come to light and presented Jeffrey Epstein as someone he barely knew".

"We will comply with the motion, including publishing documents relating to Peter Mandelson's appointment, which will show the lies he told," the spokesperson said.

At PMQs, Conservative leader Kemi Badenoch accused the government of trying to "sabotage" the disclosure process, adding to Sir Keir: "This is not about national security, this is about his job security."

Following PMQs, a dramatic debate in the Commons ended with MPs backing proposals to release the Mandelson documents without a vote.

Sir Keir had agreed to a Conservative demand to release some papers about Lord Mandelson's appointment and the "due diligence" conducted by No 10 beforehand.

But some MPs were furious that some documents might be withheld on national security grounds, with some accusing the government of a cover up.

In a last-minute concession towards the end of the debate, after Rayner and several other Labour MPs intervened, the government agreed that sensitive documents would be referred to Intelligence and Security Committee of Parliament (ISC).

Cabinet Office minister Chris Ward said the government wanted to publish documents about the decision to hire Lord Mandelson as quickly as possible, without setting out a specific timeline, adding that the cabinet secretary would lead the process.

But he said there would have to be discussions with the Metropolitan Police about what material could be released publicly at this stage.

In a statement released while MPs were debating the Mandelson documents in Parliament, the police force said it had told the government not to release "certain documents" that could undermine its investigation.

The extent of the anger among Labour MPs appears to have taken the government by surprise and bounced ministers into giving the committee of MPs a role - and left Sir Keir with his authority severely weakened.

The public admission from Starmer, long implied but now confirmed, as well as the attacks from Badenoch crystallised anger among Labour MPs.

"I don't want to be part of a cover up," one Labour MP said, summing up the mood of many.

Veteran Labour MP Clive Efford said that "MPs were frustrated and angry at what Peter Mandelson had done" and the debate had showed they believed that "the only way to deal with this is to publish everything".

Efford said he blamed Sir Keir's advisers for the "really poor decision" to appoint Lord Mandelson as ambassador to the US.

Labour MP Natalie Fleet said that Lord Mandelson "needs the consequences of a police investigation", adding that if the PM had known what was now known about Mandelson's connections to Epstein "he wouldn't have appointed him".

Lib Dem MP Lisa Smart said there were "huge questions around the judgement" of Sir Keir over the Mandelson affair.

"I understand why a number of Labour backbenchers were looking grey-faced and utterly aghast with the PM gave the answer he did," Smart said.

The Conservative motion was intended to maximise embarrassment for Labour, to force the release of a wide range of material, including any emails and text messages sent by Lord Mandelson to ministers and Sir Keir's chief of staff Morgan McSweeney.

Badenoch said her party had "forced Number 10 to come clean".

"The prime minister signed off this appointment, this was not an accident, it was a choice," Badenoch said.

Police investigation

Lord Mandelson faces an investigation into alleged misconduct in public office, after claims he sent market-sensitive government information to Epstein whilst a cabinet minister in Gordon Brown's New Labour government.

Emails released by the US Department of Justice on Friday suggest Mandelson forwarded Epstein an internal Downing Street memo in 2009 discussing possible government asset sales.

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.

Other emails published in the tranche of documents appear to show he gave Epstein advance notice of a €500bn bailout by the EU to save the Euro in 2010.

Other emails suggest Epstein made $75,000 in payments to Lord Mandelson in three separate $25,000 transactions in 2003 and 2004. Lord Mandelson has said he has no record or recollection of the payments.

Lord Mandelson has apologised for continuing the friendship with Epstein after the financier's conviction in 2008, adding he believed "lies he told me and so many others".

The peer, who gave up his Labour Party membership over the weekend, has also retired from the House of Lords.

The government is drafting legislation required to formally remove his title, whilst Sir Keir also confirmed steps would be taken to remove his lifetime membership of the Privy Council, which he holds as a former minister.