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Negotiating priorities that retain the benefits of the single market and the customs union

Sienna Rodgers writes about the new amendment Labour has tabled to the Taxation (Cross-border Trade) Bill and Trade Bill, and as an amendment ‘in lieu’ of the European Economic Area amendment passed by the Lords, calling for “full access” to the EU’s internal market.

Tabled as a new clause Labour’s proposal would make “full access” to the single market a negotiating objective of the government.

It is not a change of direction but a clarification of Jeremy Corbyn’s Coventry University speech (February). In this he revealed that the party would back membership of a customs union. He also said: “Labour would negotiate a new and strong relationship with the single market that includes full tariff-free access and a floor under existing rights, standards and protections.”

Labour’s amendments specify:

  • full access to the EU single market,
  • common minimum standards, rights and protections,
  • shared institutions with the EU
  • and no new impediments to trade.

The Labour leadership maintains that joining the European Economic Area (EEA) – advocated by some Labour MPs – would make the UK a ‘rule-taker not a rule-maker’. These new amendments are designed to replace the EEA amendment passed by the Lords and the Labour leadership will whip MPs to abstain when it comes to the Commons on Tuesday.

Keir Starmer, the Shadow Secretary of State for Exiting the European Union, called Labour’s new amendment “a very strong and significant statement of policy” and said it was “essentially tying together the single market and customs union as a strong economic package, which I think will be welcomed by businesses and trade unions”.

 

 

 

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