Peter Mandelson’s consultancy Global Counsel advised the Chinese fast fashion company Shein until earlier this year, the Guardian can disclose.
The retail company contracted Global Counsel until earlier in 2024, though it never appeared on Global Counsel’s list of clients published by the Office of the Registrar of Consultant Lobbyists (ORCL).
Lobbyists are only required to declare clients to the ORCL if they communicate directly with ministers or permanent secretaries on their behalf. A spokesperson for Global Counsel said: “Global Counsel’s submissions to ORCL reflect the requirements of the [2014 Lobbying] Act.”
Shein declined to comment, but a company source confirmed that its government relations team contracted Global Counsel until earlier this year. The retailer, which has faced criticism over its labour and environmental practices, has employed lobbying and consulting firms in the UK as it explores the possibility of listing on the London Stock Exchange.
Its links with Labour have come under scrutiny after it emerged that a lobbyist for FGS Global who worked closely with Rachel Reeves helped arrange meetings between Treasury ministers and the company’s executive chair, Donald Tang, this autumn.
Labour has indicated it is open to Shein listing in London. Before the general election, Tang met senior Labour politicians including Jonathan Reynolds, now the business secretary, and Chris Bryant and Sarah Jones, who are now junior ministers.
Global Counsel declined to comment on whether it had helped set up any meetings between Shein and Labour figures. It has long maintained that it provides strategic and policy advice rather than carrying out direct advocacy. It is currently under investigation by the ORCL over whether it failed to declare that it had lobbied ministers on behalf of Qatar.
The company was co-founded by Mandelson, who has close links with senior Labour figures. Mandelson stepped down from Global Counsel’s board in June but remains its president and retains a substantial stake.
Mandelson is one of a handful of people tipped to become the UK ambassador to the US, with a decision expected within days. He is also among five shortlisted candidates to become the chancellor of the University of Oxford.
Global Counsel’s chief executive and co-founder Benjamin Wegg-Prosser is also well-connected within the Labour party, and was reportedly lined up to become investment minister but turned down the role.
According to its declaration to the lobbyists registrar, Global Counsel’s clients include TikTok, which is owned by the Chinese technology company ByteDance and was banned from UK government devices last year.
Shein turned its sights to London after its plans to go public on the US stock exchange faced political and regulatory obstacles. Starmer has insisted that any company looking to sell shares in London will face scrutiny over its workers’ rights practices.
If Shein’s listing goes ahead it could be valued at £50bn, making it the London exchange’s biggest ever IPO.
Shein has faced allegations of forced labour in its supply chain, which it strongly denies. The business select committee is drawing up plans to question Shein bosses early next year.
Several workers’ rights and human rights charities in the UK have urged regulators to block the mooted listing.
