Labour & EU Customs Union: Brexit Latest

by ethan.brook News Editor

Summary of the article: Labour’s Re-evaluation of Brexit

This article details a important shift in the labour party’s stance on Brexit, moving from avoidance to active consideration of closer ties with the EU, specifically rejoining the customs union. Here’s a breakdown of the key points:

* Past Hesitation: Initially, under Keir Starmer, Labour avoided making Brexit a central issue, ultimately supporting Boris Johnson’s deal to avoid a no-deal Brexit. Starmer established “red lines” against returning to the customs union or single market.
* economic Pressure Drives Re-evaluation: Poor economic performance is now forcing a re-examination of this position. Analysis suggests rejoining the customs union could boost GDP by 2.2%.
* Internal Discussions: Informal discussions are happening within No.10 and across the Labour government, with ministers and advisors acknowledging the potential economic benefits. The Prime Minister has publicly admitted the “botched Brexit deal considerably hurt our economy” and signaled a desire for a closer trading relationship.
* Shifting Rhetoric: The Prime Minister’s speeches increasingly mention a closer relationship with the EU, acknowledging the need for “trade-offs” and compromises.
* Challenges Remain: Negotiations with the EU are proving difficult, especially regarding financial contributions (like the defense fund) and issues like food exports and energy markets.
* Public Opinion Shift: Public opinion is evolving, becoming less attached to previous “red lines.”
* Internal Faction: Pro-European ministers within the cabinet (Lammy, Kyle, Kendall, Phillipson, Streeting) are believed to favor a closer relationship.
* Cautious Approach: While acknowledging the economic damage, there’s a recognition that simply stating the problem isn’t enough – a concrete solution is needed. There’s also debate about the optimal timing of any move, especially before the next election.

In essence, the article portrays a Labour party grappling with the economic realities of Brexit and cautiously exploring options for a closer relationship with the EU, despite past commitments and ongoing negotiation hurdles.

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