U.K. foreign office to review pay-off to Epstein-linked U.S. envoy

U.K. Foreign Office reviews severance pay for ex-envoy Mandelson amid Epstein-linked misconduct investigation and political fallout.

The U.K. Foreign Ministry said on Sunday (February 8, 2026) it was reviewing an exit payment to former U.S. envoy Peter Mandelson, who was sacked over links to convicted U.S. sex offender Jeffrey Epstein.

Mr. Mandelson received an estimated pay-out of between £38,750 and £55,000 ($52,000 and $74,000) after only seven months in the job as British ambassador to the United States, according to a report in the Sunday Times.

Documents released on January 30 by the U.S. Justice Department appear to show that Mr. Mandelson allegedly leaked confidential U.K. government information to the late Epstein when he was a British Minister, including during the 2008 financial crisis.

The revelation has placed intense pressure on Labour Prime Minister Keir Starmer and triggered a police investigation into party insider Mandelson, 72, for alleged misconduct in a public office.

The Foreign Office said in a statement it had launched a review into Mr. Mandelson's severance payment "in light of further information that has now been revealed and the ongoing police investigation".

Cabinet Minister Pat McFadden insisted Mr. Starmer should remain in office despite his "terrible mistake" in appointing Mandelson.