Morgan McSweeney, a top No 10 aide and close ally of Peter Mandelson, has resigned to take the blame for controversy over Mandelson’s role and past associations. His exit intensifies scrutiny of the PM’s judgment and authority, as Labour figures move to contain the fallout.

Senior figures around the PM warn that ditching fiscal discipline for unfunded giveaways could trigger a repeat of 2022 market turmoil, lifting gilt yields and mortgage costs. They urge a steady, pro‑business course to protect credibility and head off would‑be challengers.

Keir Starmer apologised to victims of Jeffrey Epstein amid scrutiny of links to Peter Mandelson. He said Mandelson would continue advising him, despite concern from some Labour MPs. Questions grew over security vetting and access, with calls for transparency as officials delayed releasing related files.

Security officials warn a hostile state’s spacecraft has intercepted European satellite signals, risking exposure of unencrypted command data vital to defence and infrastructure. The UK and allies are pushing rapid encryption upgrades and tighter space monitoring to protect networks.