The future of British Prime Minister Keir Starmer is in question after the resignation of his closest aide. The crisis arose over the appointment of Peter Mandelson as ambassador to Washington.
This was reported by Bloomberg.
Chief of Staff Morgan Maxwine resigned, saying he took “full responsibility” for advising that the Labour Party veteran be appointed special envoy to the US, despite Mandelson’s well-known ties to convicted financier Jeffrey Epstein. At the same time, Starmer’s allies and opponents emphasize that the final decision was made by the prime minister, who remains in office.
According to informed sources, ministers may privately call on Starmer to resign or threaten to resign themselves. One of the minister’s aides estimated the chances of the prime minister remaining in office until the end of the week as “50-50.”
Starmer spent several days weighing whether he could continue without Maxwine, who is considered the architect of Labour’s victory in the 2024 election. Among the possible successors to the prime minister are Health Minister Wes Strating and former Deputy Prime Minister Angela Rayner.
“It’s in his hands,” said Labour MP Andy Macdonald, adding that without acknowledging the mistake and explaining further actions, the prime minister’s political future could end in the coming weeks or months.
The tension has also affected financial markets: UK government bond yields have risen, while the pound has remained virtually unchanged against the dollar and fallen against the euro. Investors are reacting negatively to the possible resignation of Starmer or Finance Minister Rachel Reeves due to the risk of replacement by politicians less committed to fiscal discipline.
Further uncertainty could be exacerbated by the February 26 by-election in the Houghton and Denton constituency, as well as local elections, where polls predict losses for Labour. After the resignation of his second chief of staff in 19 months, Starmer appointed Jill Catbertson and Vidhye Alakson to perform these duties and may announce further steps in the near future.
The crisis escalated after reports that Mandelson may have passed confidential government information to Epstein more than 15 years ago, as well as pressure to return funds received during his dismissal as ambassador. Opposition politicians are placing the blame on Starmer, while within the Labour Party itself, discontent is growing and possible candidates for the position of prime minister are being discussed.