The British Prime Minster says Lord Mandelson has let the country down as he quits the House of Lords.
UK Police are now investigating allegations that Mandelson shared internal government information with convicted sex offender Jeffery Epstein.
The latest release of Epstein files also show pictures of Mandelson in his underwear with an unidentified woman.
UK correspondent Mike Pearse told Ryan Bridge the Government told him if he didn't resign, they would've introduced legal powers to sack him.
He says it's turning out to be one of the biggest political scandals in the UK in recent years.
LISTEN ABOVE

Mark Revill-Johnson: Institute of Driver Educators President on the changes to the drivers licensing system
03:24

Tai Nelson: Soljans Estate vineyard manager on the struggle with grape overproduction
03:18

Michael Gordon: Westpac Senior economist on the expectation the unemployment rate will hold steady at 5.3%
02:58