Pressure is mounting on Prime Minister Keir Starmer to reconsider his government's stance on Brexit, as senior Labour figures publicly advocate for the UK to rejoin a customs union with the European Union. The calls, led by Health Secretary Wes Streeting, highlight a significant divide between the party's leadership and its members, who overwhelmingly favour deeper economic integration with Europe.
Streeting Signals Leadership Ambitions with Pro-EU Stance
In a move echoing Starmer's own rise, Health Secretary Wes Streeting has openly diverged from the official government line. In a weekend interview, he called for "a deeper trading relationship" with the EU, suggesting that joining a customs union would provide a powerful message to counter Nigel Farage's Reform UK at the next election.
This public intervention aligns Streeting with the vast majority of Labour members and voters. Recent YouGov polling indicates that 80% of 2024 Labour supporters back negotiating a customs union deal, with 73% supporting talks to rejoin the EU entirely. Streeting's remarks are seen by Westminster observers as a clear bid for future leadership, mirroring the path Starmer took in 2018 when he defied Jeremy Corbyn to champion a second Brexit referendum.
Cabinet Rift and Questionable Trade Benefits
Streeting is not alone. Deputy Prime Minister David Lammy has previously stated that rejoining a customs union would be desirable, pointing to benefits seen by countries like Turkey. A growing faction of Labour MPs and even senior cabinet ministers believe the government's promised EU "reset" is unambitious and that closer ties could be transformative for the UK's stagnant economic growth.
Downing Street has consistently ruled out rejoining a customs union, arguing it would undermine the UK's independently negotiated free trade deals. However, the value of those deals is now under scrutiny. The much-heralded UK-US trade agreement signed in May, while applying lower baseline tariffs than those on EU goods, has been deemed by one senior business figure as "performative" with a negligible impact on growth. A key "tech prosperity deal" with the US is suspended, and only headline terms exist for a pharmaceuticals agreement.
The Uphill Battle with Brussels and the Election Horizon
The practical path to a closer relationship is fraught with difficulty. Government figures privately warn of tough negotiations with Brussels, which demands a high price for concessions. Recent talks for UK defence companies to join the EU's Safe fund collapsed over French resistance and cost. Negotiations on food standards only began recently after a six-month EU delay, and youth mobility talks are stalled over demands for an uncapped scheme and lower student fees.
Despite these hurdles, the political tide within Labour is shifting. The party's manifesto "red lines"—ruling out a customs union, single market, or freedom of movement—are explicitly stated to apply only until the next election. One minister told the Guardian the hope is to "push on" afterwards, with a commercial union being the logical next step.
As the parliament progresses and critics of Starmer's cautious approach grow louder, the allure of a bold promise on EU trade relations is becoming increasingly difficult for the Prime Minister to resist. With prospective leadership contenders, backbenchers, and the core vote all demanding more, the debate over the UK's post-Brexit future is firmly back on Labour's agenda.