Global Counsel Faces Collapse Amidst Epstein Scandal Fallout
Published 19 February 2026
Highlights
- Global Counsel, co-founded by Peter Mandelson, is entering administration due to reputational damage linked to Jeffrey Epstein.
- Major clients like Barclays and Tesco have severed ties, leading to the firm's collapse.
- Mandelson resigned from the board in 2024, but his past connections with Epstein have continued to affect the firm.
- The company employs over 100 people across multiple global offices, facing significant redundancies.
- The firm attempted to distance itself from Mandelson, but the "maelstrom" of media attention proved insurmountable.
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Rewritten Article
Global Counsel Faces Collapse Amidst Epstein Scandal Fallout
Global Counsel, a prominent lobbying firm co-founded by Peter Mandelson, is set to enter administration following a damaging fallout from revelations about Mandelson's ties to convicted sex offender Jeffrey Epstein. The firm, which has advised high-profile clients such as Barclays, Tesco, and the Premier League, has seen a mass exodus of clients, forcing it to seek administration.
The Epstein Connection
The crisis at Global Counsel was triggered by the release of documents from the Epstein files, which highlighted Mandelson's interactions with Epstein. Despite Mandelson's resignation from the board in 2024 and his recent sale of shares, the firm's reputation has been irreparably tarnished. The files revealed that Mandelson sought Epstein's advice when establishing the firm in 2010, shortly after Labour's electoral defeat.
Client Exodus and Financial Strain
The reputational damage has led to a significant loss of clients, including Barclays, Klarna, and KKR, with Vodafone reviewing its contract. The firm's efforts to distance itself from Mandelson and co-founder Benjamin Wegg-Prosser, who stepped down as CEO in February, have been insufficient to stem the tide. Global Counsel's board acknowledged the "exceptional resilience" of its staff amidst these challenges.
Administration and Redundancies
Global Counsel has confirmed it has asked a court to appoint Interpath as administrator to manage and realize the company's assets. The firm employs over 100 people across offices in London, Berlin, Brussels, Doha, and Singapore, with significant redundancies expected. The board expressed gratitude to clients and noted that shareholders have suffered material losses.
Mandelson's Political Legacy
Peter Mandelson, a key figure in the New Labour movement, has faced scrutiny over his past connections with Epstein. Despite his claims of no criminal wrongdoing, the political and media attention surrounding his legacy has proven detrimental to Global Counsel's operations.
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Scenario Analysis
The collapse of Global Counsel highlights the profound impact of reputational damage on business viability, especially when linked to high-profile scandals. As the firm enters administration, the focus will likely shift to asset realization and potential restructuring. The situation underscores the importance of transparency and ethical conduct in maintaining client trust and business sustainability.
Looking ahead, the political implications for Peter Mandelson could be significant, potentially affecting his future roles and influence. The case also serves as a cautionary tale for other firms about the long-lasting effects of association with controversial figures. Legal experts suggest that the fallout may prompt stricter regulations and due diligence practices within the lobbying industry to prevent similar occurrences.
Global Counsel, a prominent lobbying firm co-founded by Peter Mandelson, is set to enter administration following a damaging fallout from revelations about Mandelson's ties to convicted sex offender Jeffrey Epstein. The firm, which has advised high-profile clients such as Barclays, Tesco, and the Premier League, has seen a mass exodus of clients, forcing it to seek administration.
The Epstein Connection
The crisis at Global Counsel was triggered by the release of documents from the Epstein files, which highlighted Mandelson's interactions with Epstein. Despite Mandelson's resignation from the board in 2024 and his recent sale of shares, the firm's reputation has been irreparably tarnished. The files revealed that Mandelson sought Epstein's advice when establishing the firm in 2010, shortly after Labour's electoral defeat.
Client Exodus and Financial Strain
The reputational damage has led to a significant loss of clients, including Barclays, Klarna, and KKR, with Vodafone reviewing its contract. The firm's efforts to distance itself from Mandelson and co-founder Benjamin Wegg-Prosser, who stepped down as CEO in February, have been insufficient to stem the tide. Global Counsel's board acknowledged the "exceptional resilience" of its staff amidst these challenges.
Administration and Redundancies
Global Counsel has confirmed it has asked a court to appoint Interpath as administrator to manage and realize the company's assets. The firm employs over 100 people across offices in London, Berlin, Brussels, Doha, and Singapore, with significant redundancies expected. The board expressed gratitude to clients and noted that shareholders have suffered material losses.
Mandelson's Political Legacy
Peter Mandelson, a key figure in the New Labour movement, has faced scrutiny over his past connections with Epstein. Despite his claims of no criminal wrongdoing, the political and media attention surrounding his legacy has proven detrimental to Global Counsel's operations.
What this might mean
The collapse of Global Counsel highlights the profound impact of reputational damage on business viability, especially when linked to high-profile scandals. As the firm enters administration, the focus will likely shift to asset realization and potential restructuring. The situation underscores the importance of transparency and ethical conduct in maintaining client trust and business sustainability.
Looking ahead, the political implications for Peter Mandelson could be significant, potentially affecting his future roles and influence. The case also serves as a cautionary tale for other firms about the long-lasting effects of association with controversial figures. Legal experts suggest that the fallout may prompt stricter regulations and due diligence practices within the lobbying industry to prevent similar occurrences.
