Lord Peter Mandelson is claimed to have ‘masterminded’ Sir Keir Starmer’s reshuffle just days before he was sacked as Britain’s ambassador to the US.
In fresh revelations about the extent of his influence on Labour, the disgraced peer is reported to advised Downing Street on the Government shake-up.
Lord Mandelson is also said to have been directly involved in helping Sir Keir’s top aide select parliamentary candidates ahead of the 2024 general election.
On 5 September last year, the Prime Minister carried out the first major reshuffle of his premiership following the resignation of Angela Rayner over a tax row.
It saw a number of ‘soft-left’ MPs sidelined in favour of those seen as allies of Morgan McSweeney, Sir Keir’s chief of staff who is viewed as a ‘mentee’ of Lord Mandelson.
No10 insiders have expressed their bemusement at Lord Mandelson’s claimed role in the reshuffle, especially considering he was sacked less than a week later.
On 11 September, Sir Keir was forced to remove the peer from his Washington DC role over his links to paedophile financier Jeffrey Epstein.
But Lord Mandelson’s fall from grace was not complete, with new revelations about his ties to Epstein emerging in the recent release of millions of documents in the US.
Lord Peter Mandelson is claimed to have ‘masterminded’ Sir Keir Starmer’s reshuffle just days before he was sacked as Britain’s ambassador to the US
Labour MPs are demanding the sacking of Morgan McSweeney, Sir Keir’s chief of staff, amid claims he pushed for Lord Mandelson’s appointment as US ambassador
He has since quit the Labour Party and the House of Lords, as well as being booted out of the Privy Council – although he retains his ‘Lord’ title until legislation is passed to strip him of it.
The Metropolitan Police has also begun a criminal investigation into allegations Lord Mandelson passed market-sensitive information to Epstein while serving as business secretary in Gordon Brown’s Labour administration.
Lord Mandelson has denied the documents show he broke any laws or acted for personal gain. He has repeatedly said he regrets his friendship with Epstein.
In the wake of the scandal, Labour MPs are demanding the sacking of Mr McSweeney, amid claims he pushed for Lord Mandelson’s appointment as US ambassador despite concerns about his friendship with Epstein.
One person who worked with Mr McSweeney while Labour were in opposition told the New Statesman: ‘Morgan wouldn’t breathe without consulting Mandelson first.’
Another said: ‘They talked all the time.’
The Left-leaning publication also reported that Lord Mandelson praised Mr McSweeney’s political talents and was ‘instrumental’ in the adviser navigating a Downing Street power struggle with Sue Gray in autumn 2024.
Commenting on Lord Mandelson’s reported role in Sir Keir’s reshuffle last September, one No10 insider said: ‘That is not normal. He was the US ambassador – why was he masterminding the reshuffle?’
Government sources have insisted Lord Mandelson’s advice was ‘unsolicited’.
Yet Lord Mandelson is said, prior to his sacking, to have been one of the most important figures in the Labour Government.
Other reports have suggested that Lord Mandelson’s influence long pre-dated his appointment as US ambassador in February last year.
A party whistleblower told The i Paper that Lord Mandelson was directly involved in helping Mr McSweeney select Labour’s parliamentary candidates ahead of the 2024 general election.
He was reported to have helped identify potential candidates who were seen as too Left-wing to run for the party.
The source also said he was given access to a secret Google spreadsheet of potential candidates that Mr McSweeney and his allies used.
A Labour Party spokesperson said: ‘Peter Mandelson had no role in selecting candidates ahead of the 2024 general election.
‘All candidate selections were carried out in compliance with the Labour Party rule book and procedures agreed by the National Executive Committee.’
