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Labour’s Europe Debate Intensifies as No 10 Weighs ‘Dynamic Alignment’ and MPs Back Customs‑Union Push

Downing Street reiterates its pledge to keep the UK out of the EU single market and customs union.

Overview

  • The Observer reports that figures around Keir Starmer are exploring a Swiss‑style “dynamic alignment” model to secure sectoral single‑market access without a full customs union.
  • No 10 maintains its manifesto red line on not rejoining the EU’s single market or customs union, despite renewed internal pressure for closer economic ties.
  • Health Secretary Wes Streeting has argued for a deeper trading relationship with the EU, with Deputy Prime Minister David Lammy highlighting perceived economic benefits of customs‑union‑style arrangements.
  • Thirteen Labour MPs backed a Liberal Democrat Private Members’ Bill on customs‑union negotiations last month, with the legislation due back in the Commons on 16 January.
  • Labour MPs including Graham Stringer and Dan Carden warn that shifting toward EU alignment could provoke a party rebellion and damage support in pro‑Brexit seats vulnerable to Reform UK.