Ex-British cabinet minister Peter Mandelson released on bail amid Epstein leaks probe

British police have released Peter Mandelson on bail about nine hours after arresting the former UK cabinet minister on suspicion of misconduct in public office because of his ties to sex offender Jeffrey Epstein, days after Andrew Mountbatten-Windsor was detained on similar grounds.

The Labour insider, who was elevated to the House of Lords after decades of senior roles in public life, is under investigation after the release of documents showing he sent confidential government information to Epstein while a minister.

Police were seen walking Mandelson to a vehicle on Monday afternoon in London (about 4am on Tuesday, AEDT) and they later confirmed they had begun searching a home in Camden in the north of the city as well as a country property in Wiltshire.

“Officers have arrested a 72-year-old man on suspicion of misconduct in public office,” the Metropolitan Police said.

“He was arrested at an address in Camden on Monday, 23 February and has been taken to a London police station for interview.

“This follows search warrants at two addresses in the Wiltshire and Camden areas.”

Police later said the man had been released on bail pending further investigation.

The arrest continues the sharp fall from grace for Mandelson, who was a key figure in Tony Blair’s rise to prime minister in 1997. He served as a cabinet minister under Blair and his successor, Gordon Brown, and later became a trade commissioner for the European Union.

While Mandelson’s ties to Epstein were known for years, this did not stop Prime Minister Keir Starmer from appointing him as ambassador to the United States in December 2024, in a decision seen as a way to smooth relations with US President Donald Trump.

But more details emerged of Mandelson’s friendship with Epstein in the files released last year by the US Department of Justice, including a message from the Labour figure heaping praise on the disgraced financier in a “birthday book” that also featured personal notes from young girls and business friends.

While that led Starmer to remove Mandelson from the ambassador’s post at the end of last year, the damage continued when the US Department of Justice released further documents on January 30.

The latest documents included emails between Mandelson and Epstein that showed the Labour insider was sending government policy advice and other information to his friend in the US.

In one example, Mandelson sent Epstein an email in June 2009 with a UK government document outlining a potential policy on asset sales. Mandelson suggested to Epstein that this could lead to land and property sales.

In another example, Mandelson appeared to lobby the UK Treasury on banking policy on issues that he had discussed with Epstein.

In a third case, the emails showed Mandelson telling Epstein in June 2010 about a decision by national leaders to rescue banks during the global financial crisis.

“Sources tell me 500 b euro bailout, almost compelte [sic],” Mandelson wrote, in an email with spelling errors. Later in the email chain, he told Epstein he had just left the prime minister’s office at Number 10 Downing Street and would call.

Decisions on financial rescues were highly confidential during the crisis, with the potential to move share prices once revealed.

Brown, who appointed Mandelson to the role of business secretary in 2008, described the emails to Epstein as a “complete betrayal of his colleagues, and of the job he was carrying out,” he said two weeks ago.

“And, of course, it was a betrayal of the country.”

Mandelson resigned from the Labour Party this month and stepped down from the House of Lords, parliament’s upper chamber.

Mandelson has denied any wrongdoing. He has previously said he “very deeply” regretted his association with Epstein. But he has not commented publicly or responded to messages seeking comment on the latest revelations.

Starmer has said that Mandelson lied about the extent of his ties to Epstein during the vetting process for his appointment as ambassador.

The Epstein files released by the US Department of Justice also included conversations about payments to Mandelson’s husband, although the former cabinet minister said he had no records of this.

More files about Mandelson are due to be released by the UK government in early March, but the arrest has heightened calls for faster action to reveal any British documents that could corroborate the disclosures in the Epstein files. Starmer is also facing calls to reveal more about the security vetting before he appointed Mandelson to the ambassador’s post.

“Time to release the Mandelson files in full,” Conservative Party leader Kemi Badenoch said after Mandelson’s arrest. “We must know who knew what and when. No more delays.”

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