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People in Trump’s orbit have been cautioning the President-elect to reject Lord Mandelson’s credentials if he’s put forward for the top diplomatic role

Donald Trump could block Peter Mandelson from being installed as the UK’s Ambassador to the US in a major diplomatic upset, the Sunday Mirror has been told.

The Labour former minister has been widely tipped as a potential replacement for current ambassador Karen Pierce, who took the job in 2020.

But people advising Mr Trump have urged him to refuse Lord Mandelson’s credentials, should he be selected as Ambassador, because of his ties to the EU, according to sources close to Trump-world.

Lord Mandelson is a former EU Commissioner – which means he was entitled to a £31,000 a year pension from the bloc when he turned 65 in 2018.

It’s raised fears among people in Trump’s orbit that as Ambassador, Mr Mandelson would be working in the interests of the EU, not just the UK.

Such a refusal would be embarrassing for Keir Starmer, and a setback in relations with Trump’s transition team which, so far, have been cordial.

Lord Mandelson, former Labour MP David Miliband and Labour peer Cathy Ashton are all reportedly shortlisted for the role – with a decision expected to take place within days.

Ms Pierce has had her term in the US Embassy extended to January to help cover the transition from the Biden administration to a Trump White House.

Whoever secures the role will be crucial to the UK’s relations with the US, as Trump threatens to introduce huge tariffs on imported goods.

Meanwhile, Republicans angling for jobs in Trump’s administration have descended on Palm Beach, Florida this week to kiss the ring of the President-elect.

Among them was Nigel Farage, who joined Mr Trump at his final rally, and was a guest at his Mar a Lago resort on election night.

The following night, Mr Farage was seen having dinner at the next table from President Trump – who was dining with erratic tech mogul Elon Musk.

But it’s understood the President-elect is unlikely to offer the Reform UK leader a job in his White House team.

And if one were offered, Mr Farage is said to be prepared to turn it down in favour of staying in the UK as the MP for Clacton-on-Sea.

Instead, Mr Farage has said he could act as a bridge between the Labour government and the Trump White House, an offer Keir Starmer seems unlikely to take him up on.

“I’ve got a great relationship with Donald Trump but equally I know many of the other senior figures who will be in this administration and I’ve known them for quite a long time,” he said.

“It seems to me that with a Labour Party and a Republican Party who disagree on so many things – who are such fundamentally different people – that I might be useful as an interlocutor. Unofficially, behind the scenes, to try and help mend some of those fences.

“If the Government choose to use me, I would do that not because I support the Labour Government but because I believe in something called the national interest.”

Celebrations at Mar a Lago have been raging well into the night this week – with Mr Trump himself blasting out music chosen on an iPad to entertain guests on the terrace.

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