Lord Peter Mandelson has told friends that he received his agréement to be the UK’s ambassador to the US from Donald Trump’s administration.
If true it means that the Labour grandee will have his letters of credence accepted by Trump next month and can take up residence in Washington DC.
However, the Foreign Office (FCDO) has not confirmed the reports in Politico yet and sources in the Trump team have raised question marks over whether the former EU commissioner and business secretary “has been given the green light.”
The confusion comes as newly installed US secretary of state Marco Rubio issued a warning to foreign secretary David Lammy over the attempts to hand over the Chagos Islands to Mauritius, as tensions between the UK government and US administration continue.
It comes amid reports that US senators have handed a file to the FBI to investigate the Labour peer’s links to China, the primary reason that Trump was said to be considering rejecting his nomination.
The Independent revealed last week that the extremely rare move was being considered by Trump and that a decision is set to be made by the US president this week after papers are forwarded from the State Department.
One senior US source described the report Mandelson has been accepted as “hot air”, adding: “Why would the senators have passed the dossier to the FBI Monday if he got his agreement last week?”
While Lord Mandelson may be allowed to take up his post removing a major diplomatic headache for Sir Keir Starmer it is understood that it will still come with conditions and the peer “will be kept on a short leash” because of his past links with China.
Meanwhile, Trump’s new chief diplomat has issued a warning to Mr Lammy over his attempts to hand over the Chagos Islands to Mauritius in a sign that the new White House administration will seek to block the move.
The shot across the bows came in secretary of state Marco Rubio’s first phone call with the foreign secretary.
While Sir Keir Starmer and Trump avoided difficult topics including Mandelson when they spoke on Sunday, Mr Rubio issued a warning over the controversial Chagos Islands deal.
Joe Biden had supported a handover to Mauritius but the Trump administration is concerned about the joint UK/US airbase on Diego Garcia and the potential of China moving in and establishing a presence on the islands.
Mauritius was the first African country to sign a trade deal with China and the issue was raised by Mr Rubio during the call with Mr Lammy, telling the foreign secretary to beware of Beijing’s “malign influence”.
Mr Rubio, who has previously criticised the proposed deal, stressed the need for a “free and open Indo-Pacific that is secure and stable”, according to a readout of the conversation. While Chagos does not appear to be mentioned by name the reference was a clear sign of the administration’s position on the deal with Mauritius