The former trade secretary, Peter Mandelson, is letting it be known that he has no intention of returning to the role of spin doctor in which he made his name following his resignation over a loan.

But he plans to remain very active in public politics, especially in the debate over Europe.

Political Corrrespondent Emma Udwin: Mandelson long held interest in Europe

1999 will bring a string of elections, including those to the European parliament, and some senior Labour figures would like Mr Mandelson to play a central role in campaigning and communications.

But sources close to the former minister say he has no intention of retreating behind the scenes.

Code is He is said to want to adopt a low profile initially, though he will pursue his passionately held enthusiasm for Europe.

The embryo cross-party campaign for Britain to join the euro is need of a prominent figurehead, and friends have suggested that Mr Mandelson should take on the job.

No formal offer has been made by the current co-ordinator of the group and Mr Mandelson is likely to take some time to decide his next steps.

The Chancellor Gordon Brown is currently leading government efforts to prepare for the euro, and some of Mr Mandelson's supporters are wary of his taking a role which could point up disputes between the two men.