The head of the UK's leading lobbying industry body has issued a stark warning to corporate public affairs chiefs, urging them to cease working with agencies that have not signed up to its ethical code of conduct. This intervention follows a damaging scandal involving several blue-chip companies severing ties with Peter Mandelson's lobbying firm, Global Counsel, after revelations about its connections to convicted sex offender Jeffrey Epstein.
PRCA Chief Calls for Ethical Compliance
In a draft letter obtained by City AM, Sarah Waddington, chief executive of the Public Relations and Communications Association (PRCA), has cautioned British firms against employing non-member agencies for lobbying and public affairs work. She emphasised that the PRCA's charter provides what she described as "an uncompromising framework" for ethical lobbying practices.
"At a time when public confidence matters more than ever, we encourage you to make sure that your consultancies are meeting the highest ethical standards by using PRCA agencies," Waddington wrote in the correspondence, which is expected to be distributed to public affairs leaders across major UK companies.
Global Counsel Scandal Unfolds
The PRCA's intervention comes directly after emails released by the US Department of Justice exposed troubling connections between Peter Mandelson's Global Counsel and Jeffrey Epstein. The political advisory firm, established in 2010 by Mandelson alongside former Labour party communications director Benjamin Wegg-Prosser, has been severely impacted by these disclosures.
Correspondence between Mandelson and Epstein revealed that Mandelson frequently sought Epstein's assistance and guidance during Global Counsel's early development phase, even after Epstein had been convicted of soliciting child prostitution. Further emails exposed multiple connections between Wegg-Prosser and Epstein, including a visit the Global Counsel chief executive made to Epstein's New York apartment while the financier was under house arrest.
Corporate Fallout and Leadership Changes
Since City AM first uncovered these emails, several prominent clients including banking giant Barclays and pharmaceutical company GSK have terminated their relationships with Global Counsel. The scandal culminated last Friday with Wegg-Prosser stepping down as chief executive, being replaced through an internal appointment by Rebecca Park.
Global Counsel has now completely severed ties with Mandelson, who divested his 21 per cent stake in the firm on Friday following months of negotiations. Sources close to the consultancy's new leadership have indicated the firm is "actively reviewing its transparency measures" in response to the controversy.
Broader Industry Implications
The Global Counsel fiasco has ignited wider conversations about ethical standards within the lobbying industry, particularly after it emerged the firm was not a PRCA member. The association's code of conduct includes multiple provisions designed to increase transparency within what has traditionally been a somewhat clandestine industry, explicitly prohibiting members from engaging in unethical lobbying practices.
"Lobbying plays a vital role in the democratic process when carried out properly," Waddington's letter continues. "Transparency around who is lobbying strengthens public trust, supports better policymaking, and ensures decisions are taken in the open."
Political Echoes and Reform Calls
Waddington's remarks resonate with earlier interventions from former Prime Minister Gordon Brown, who has called for comprehensive reforms to lobbying legislation as part of broader efforts to improve public standards. Speaking to BBC Radio 4's Today programme, Brown stated: "This is an issue of trust, and trust once dented is difficult to recover, and that's why we need a comprehensive set of actions on corruption, ethics, lobbying, and indeed on openness."
The PRCA's proactive stance represents a significant move towards self-regulation within the lobbying sector, aiming to restore public confidence through stricter adherence to ethical guidelines and greater transparency requirements for all industry participants.
