PETER Mandelson was released on bail in the early hours of the morning amid a probe into revelations from the Epstein files – but questions continue to mount.
The sacked US ambassador, 72, was taken into custody yesterday as part of a probe into misconduct in public office.
Mandelson has previously denied any wrongdoing and said he regrets his friendship with convicted sex offender Epstein.
Mandelson was then pictured arriving home in the early hours of this morning.
But as more questions continue to swirl, what could the future hold for the ex-Labour peer?
Here are five of the biggest unanswered questions surrounding Mandelson’s arrest.
What does this mean for Sir Keir’s future?
Earlier this month, the Prime Minister came perilously close to a leadership challenge after revelations about Mandelson’s relationship with Jeffrey Epstein.
And it looks like the Labour grandee will not stop casting storm clouds over Sir Keir Starmer.
The PM apologised for appointing Mandelson as US Ambassador.
But pictures of his arrest has thrust the saga back into the spotlight.
With a crunch-by election on the horizon, this is a key moment for Sir Keir with his rivals and opponents circling.
Why was Mandelson even given the job?
Lord Mandelson became the British ambassador to the US in February 2025.
He was sacked in September after Downing Street said new information about the depth of his relationship with Epstein had emerged.
Sir Keir Starmer appeared to blame MI5 and MI6 for failing to vet Lord Mandelson properly before giving him clearance to take up the Washington posting.
The PM revealed earlier this month that the ex-US Ambassador was “asked directly” about the nature of his ties with Epstein.
What did cops find at his house?
Police descended on the ex-Labour peer’s home just after 4pm yesterday afternoon before he left in an unmarked car.
The shamed ex-ambassador was taken to a police station in London and quizzed by cops before he was released in the early hours.
The Met Police searched properties in Camden and another in Wiltshire a fortnight ago.
But Scotland Yard previously said their probe into Mandelson will “take some time” and any findings will not be revealed immediately.
In a statement following Mandelson’s release, the Met Police added: “A 72-year-old man arrested on suspicion of misconduct in public office has been released on bail pending further investigation.
“We are not able to provide further information at this stage to prevent prejudicing the integrity of the investigation.”
Why did they wait 17 days to arrest him?
Mandelson was released at 1.15am and was pictured arriving home just before 2am on Tuesday.
The Met Police had launched an investigation earlier this month over allegations that, while he was serving as a government minister, Lord Mandelson had passed on market-sensitive government information to Epstein.
Search warrants had to be carried out at two address in Wiltshire and Camden which was then followed by the arrest.
Consultations between the police and the Crown Prosecution Service are ongoing.
His arrest comes just days after former prince Andrew was quizzed by cops over the same offence.
Will the Mandy files still be published?
Mandelson was accused of passing sensitive government intelligence to paedophile Jeffrey Epstein during his time as business secretary in Gordon Brown’s government.
His arrest will pile fresh pressure on ministers – and the police – to set out a clear timetable for releasing the Mandelson vetting files.
The ex-Labour peer has previously denied any wrongdoing and said he regrets his friendship with convicted sex offender Epstein.
One email seemed to show him tipping off the financier about an imminent Eurozone bailout package.
Another saw him advising top bankers to “mildly threaten” the then-Chancellor Alistair Darling over plans to curb their bonuses.
The government has said it expects to release the first documents relating to Lord Mandelson’s appointment in “early March”.



