Epstein links reignite scrutiny of Mandelson in Scotland

Peter Mandelson and John Swinney outside the White House talking a Trump administration official <i>(Image: Official White House Photo by Molly Riley)</i>
Peter Mandelson and John Swinney outside the White House talking a Trump administration official (Image: Official White House Photo by Molly Riley)
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John Swinney has ordered an investigation into the Scottish Government’s past dealings with Peter Mandelson amid mounting fallout over the disgraced former minister’s links to the paedophile financier Jeffrey Epstein.

Speaking to ITV Border , the First Minister said he was concerned Scotland’s interests may have been “undermined” by Lord Mandelson’s actions, after documents released by the US Department of Justice appeared to show the former Labour peer shared sensitive government information with his billionaire friend during the 2008–09 financial crash.

The SNP leader was speaking after Sir Keir Starmer admitted that he had been told about Lord Mandelson's ongoing friendship with Epstein before appointing him to be the UK's Ambassador to the US.

“The Prime Minister’s judgement is completely flawed. That’s the only conclusion you can come to,” Mr Swinney said. “To have known about the connection with Jeffrey Epstein, and then to appoint him as the ambassador to the United States, is a disastrous and very damaging decision.”

He added: “What I’m now concerned about is that, now that we know there’s information about the supply of material by Peter Mandelson in the financial crash to Jeffrey Epstein, I’m concerned about the implications of that for Scotland.”

John Swinney and Peter Mandelson outside the White House (Image: Molly Riley)

Mr Swinney said the audit, led by the Scottish Government’s Permanent Secretary, would examine Scottish Government transactions during the financial crash, as well as more recent engagement with Lord Mandelson, including discussions last year over Scotch whisky tariffs in the United States.

“That is to see if, in any way, shape or form, the position and the interests of Scotland have been undermined as a consequence of the behaviour that Peter Mandelson has been involved in,” Mr Swinney said.

The First Minister added: “It is absolutely and completely unacceptable that at a time when we faced the implications of the financial crash, or even last year when I was trying to advance the interests of Scotland, that our approach was undermined by Peter Mandelson.”

Lord Mandelson, who served as a senior minister under both Gordon Brown and Tony Blair, resigned from the House of Lords this week following further revelations about his relationship with Epstein.

The Metropolitan Police has since confirmed it is assessing allegations of misconduct in public office.

The First Minister’s intervention came as Anas Sarwar said it was “quite clearly the case that Peter Mandelson should not have been the ambassador to the US”.

Speaking at a press conference in Glasgow, the Scottish Labour leader said: “It’s right that he is not a member of the Labour Party and he should not sit in the House of Lords.

“I’ve heard the Prime Minister say that, had he known then what he knows now, he would not have appointed Peter Mandelson as the US ambassador. That was clearly a mistake.”

Anas Sarwar speaking at an event in Glasgow (Image: PA)

However, Mr Sarwar used the same press conference to attack SNP Westminster leader Stephen Flynn, after Mr Flynn called for Lord Mandelson’s expulsion from the House of Lords and drew comparisons with Labour figures linked to another convicted sex offender.

Mr Flynn had linked Lord Mandelson’s relationship with Epstein to that of Labour MSP Pam Duncan-Glancy and former Number 10 adviser Matthew Doyle, who has since been given a peerage, with convicted paedophile Sean Morton.

Scottish Labour has removed Ms Duncan-Glancy from its frontbench and she has announced she will not stand as a candidate at May’s Holyrood election, but the party has so far resisted calls to withdraw the whip.

Baron Doyle was not prevented from taking his seat in the Lords.

Mr Sarwar accused Mr Flynn of exploiting Epstein’s crimes for political gain, and drew a direct comparison with the SNP’s handling of former MP Patrick Grady, who was suspended from the Commons after being found to have acted inappropriately towards a member of staff.

“I would direct this directly at Stephen Flynn, but also other members of the SNP,” Mr Sarwar said.

“He wants to shamefully use the crimes of Jeffrey Epstein, who abused women, who abused positions of power and relationships, to try to make comparisons with the situation with Pam Duncan-Glancy.

“It’s frankly disgusting and beneath them.

“But let’s contrast my actions with Stephen Flynn’s actions.

“Pam Duncan-Glancy is no longer a member of the shadow cabinet. She is not a candidate at the next election.

“They stood by, defended and protected someone who was found guilty by standards of sexual offences – Patrick Grady.

“If he wants to question my actions and my judgements, he needs to seriously question his own actions and his party’s judgements.”

Patrick Grady was suspended from the Commons for harassing a party staffer

Mr Flynn was not SNP Westminster leader when Mr Grady was originally suspended, but the former Aberdeen South MP did return to the SNP following a six-month suspension while Mr Flynn was in post.

Responding, Mr Flynn accused Mr Sarwar of “appalling judgement” and said the Scottish Labour leader could not deflect responsibility for his own decisions.

“Anas Sarwar has shown appalling judgement over his close relationship with Peter Mandelson and Pam Duncan-Glancy,” he said.

“He embraced Mandelson and boasted that he was his ‘old friend’ despite knowing that he maintained contact with convicted paedophile Jeffrey Epstein, which has been a matter of public record for many years.

“He has failed to remove the whip from Duncan-Glancy despite knowing that she has held dinner parties, and maintains a close friendship, with twice-convicted paedophile and former Scottish Labour Party councillor Sean Morton.

“Anas Sarwar cannot pass the buck for his own inaction. He is as weak as his boss Keir Starmer, and voters will take a dim view of his excuses for why he thinks it is acceptable for serving Scottish Labour Party MSPs to consort with convicted paedophiles and retain their party membership.”

Meanwhile, during a Commons debate on releasing documents relating to Lord Mandelson’s appointment, Dr Scott Arthur, the Labour MP for Edinburgh South West, said he would not have bought a second-hand car from the peer.

He told the chamber: “I’ve been around for a long time. I can remember Mandelson’s first lap, then his second lap in the Lords, and now this third lap. My general perception of him is not someone I would trust. I wouldn’t buy a second-hand car from him. But that’s based on my perception, on the media. I’ve not seen the vetting they went through.”

He also described the peer as a “traitor”.

“And I think, not just a traitor to the UK, but also a traitor to the survivors of sexual abuse from Epstein and survivors of sexual abuse everywhere,” he added.

John Lamont, the Conservative MP for Berwickshire, Roxburgh and Selkirk, said Lord Mandelson had fundamentally breached the standards expected of public office holders.

“No matter which party we represent, no matter what deeply held differences we have, no matter how different our beliefs are, everyone in this chamber, and anyone who serves the public, does so in the interests of this nation. We all signed up to serve our country, to do the best by Britain.

“Peter Mandelson has broken that vow.”

Mr Lamont questioned why the former Labour peer had been appointed ambassador despite long-standing concerns, saying the Prime Minister’s conduct on the issue had been “completely unforgivable”.

“I’ve been doing this job as a Member of Parliament since 2017 and, before that, as a member of the Scottish Parliament for 10 years, so almost 20 years.

“Throughout that time, I’ve been aware of the rumours and the speculation about Mandelson. He was sacked from Cabinet on two occasions for misconduct. Throughout his political life there have been question marks raised about his credibility, his conduct and his scruples.

“Why on earth did the Prime Minister make that appointment when there was so much information about the toxic nature around Peter Mandelson? What on earth was the Prime Minister doing?”

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