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Mulvaney was Trump's third chief of staff - a job he held in an acting capacity in a White House known for its high turnover. Next up: Mark Meadows.
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In an open letter, influential conservatives urge President Trump to keep his embattled chief of staff and remove the "acting" from his title.
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The decision is sure to renew debate about President Trump's unprecedented decision to maintain ownership of the Trump Organization after taking the oath of office.
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In a rare press briefing, the acting chief of staff said the president held up aid to Ukraine as part of a quid pro quo. Hours later, he changed course, saying there was "absolutely no quid pro quo."