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Labour’s calls to reconsider Brexit grow stronger as tech secretary advocates for customs union engagement

January 21, 2026
1 min read
Labour's calls to reconsider Brexit grow stronger as tech secretary advocates for customs union engagement

Labour’s approach to customs union gains traction

Labour’s drive to unravel Brexit intensified today after a minister called it “crazy” to ignore the customs union, reports BritPanorama.

Tech Secretary Peter Kyle suggested that Britain must evaluate where the “best opportunities” exist for its economy, potentially indicating a shift towards closer alignment with the EU’s customs framework.

This statement contrasts sharply with previous assertions by Labour leader Sir Keir Starmer, who has ruled out rejoining the customs union. Furthermore, concerns have been raised that such a move could jeopardize existing trade agreements.

Addressing the World Economic Forum in Davos, Mr. Kyle stated, “When it comes to the customs union, we need to be having these conversations as a country about where is the best anchor, what is the best opportunity for Britain’s economy post-Brexit.” He further remarked, “It would be crazy not to engage with the prospect of a customs union.”

Contradicting Kyle’s remarks, Chancellor Rachel Reeves responded with a firm “no” regarding a customs deal at the same event. She cited Labour’s manifesto which clearly stated the party would not pursue rejoining the customs union, the single market, or reinstating free movement of labour.

Reeves added, “I don’t think you have to return to the customs union to seize greater benefits of free and fair trade.”

Mr. Kyle is not alone in his provocative stance, as several Cabinet ministers, including Health Secretary Wes Streeting and Justice Secretary David Lammy, have previously expressed support for revisiting some elements of Brexit.

The ongoing discussions reflect Labour’s efforts to navigate the complexities of Britain’s post-Brexit landscape, balancing economic interests with party commitments.

As the debate continues, the implications of Labour’s contrasting perspectives could significantly influence public perception and party unity regarding future relations with the EU.

In an era marked by shifting political sands, the question of how the UK engages with Europe remains crucial, underscoring the delicate balance between sovereignty and economic advantage.

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