Barclays has reportedly cut ties with the lobbying firm co-founded by Peter Mandelson, after intense scrutiny of the founders’ dealings with the late child sex offender Jeffrey Epstein.

Vodafone has also said it is reviewing its contract for public affairs services with Global Counsel, which Mandelson co-founded in 2010 after Labour lost the general election.

Mandelson has tried to distance himself from the lobbying firm after the revelations of the extent of his relationship with Epstein sparked a major political scandal. Mandelson resigned from the Labour party on Sunday.

The former minister was sacked as ambassador to the US in September after the emergence of emails that suggested he had a close relationship with Epstein, who died in prison in 2019 while awaiting trial over child sex-trafficking charges. The further allegation that Mandelson leaked sensitive information on government policy to Epstein has triggered a political crisis for the UK prime minister, Keir Starmer.

The newly released emails from the US Department of Justice investigation have also put Global Counsel under intense scrutiny.

The Financial Times reported that Barclays had dropped the firm due to frustration over its handling of Mandelson’s remaining stake, citing a person close to the situation.

Vodafone said its “current one-year contract ends in March” and “no decisions have been taken regarding its renewal”, the FT reported.

Barclays and Vodafone were approached for comment.

Rokos Capital Management, a £16bn London hedge fund, on Thursday said it had “terminated” talks with Mandelson over an advisory role after revelations of the government leaks.

The Epstein files appeared to show that Mandelson regularly shared information about his efforts to start Global Counsel with Epstein. He also shared emails on his other business dealings, such as seeking the lucrative role of chair at the mining company Glencore. Mandelson did not secure that job, but Global Counsel did win business providing Glencore with “strategic advice”. Glencore has previously declined to comment.

The files also suggested that Global Counsel’s chief executive and co-founder, Benjamin Wegg-Prosser, had met Epstein in person at his house in 2010, and had directly emailed Epstein at least twice.

Global Counsel’s other clients include Palantir, a military and security technology firm with deep ties to the administration of Donald Trump. The UK government has been urged to release information on Mandelson’s role when Starmer visited Palantir’s showroom in Washington DC in February 2025, shortly after Mandelson became ambassador to the US. Palantir has previously declined to comment.

Starmer has said that Mandelson lied to him about the extent of his ties to Epstein, but he apologised to Epstein’s victims on Thursday for appointing Mandelson to the ambassador role, and “having believed Mandelson’s lies and appointed him”.

Mandelson was approached for comment.