Peter Mandelson is on the verge of accepting a position as a consultant to a new advertising agency, according to today's Mail.

The former cabinet minister is expected to agree to participate in "brainstorming sessions" a few days a month for Clemmow Hornby Inge where he will advise on how to win new clients and develop campaigns.

Mandelson will not be paid for his new role but will instead receive share options when the company is floated in the future.

The FT reports that Mandelson has spent 10 days in China, where he spent two days being quizzed on the "third way" at the communist's central party school.