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Jeremy Corbyn answers questions at the EEF conference in London.
Jeremy Corbyn answers questions at the EEF conference in London. Photograph: Simon Dawson/Reuters
Jeremy Corbyn answers questions at the EEF conference in London. Photograph: Simon Dawson/Reuters

UK will have to have a customs union post-Brexit, says Corbyn

This article is more than 6 years old

Labour leader says access to European markets and no hard border in Northern Ireland are key to Labour’s position

The UK will “have to have a customs union” with the EU after leaving the bloc, Jeremy Corbyn has said in remarks suggesting a further shift by Labour towards a softer Brexit.

Answering questions after a speech to manufacturers’ organisation the EEF, the Labour leader said some form of continued customs union would be imperative, in part to avoid a hard border on the island of Ireland.

Asked how Labour’s position on Brexit differed to that of the government, Corbyn said: “We have to have access to European markets, we have to have a customs union that makes sure we can continue that trade, particularly between Northern Ireland and the Republic of Ireland. That is key to it.”

He continued: “Being a member of the single market is automatic if you’re a member of the EU. If we’re not in the EU, we’re not automatically a member of it.

“So what we are determined to achieve is a tariff-free trade relationship with Europe, but also to say that we’re not proposing a deregulation of our economy to undercut Europe, and we’re not proposing a sweetheart deal with the USA or anyone else which would result in deregulation, for example through agriculture. We’re very determined to achieve that.”

Corbyn has previously ruled out the UK staying in the single market, but he and his shadow ministers have talked about the idea of the UK being part of “a” customs union – the distinction being that the party does not think it is feasible to stay a full member of the current customs union, which ensures tariff- and barrier-free trade across the EU.

He nonetheless reportedly faced pressure from some shadow ministers to be completely clear on the issue before a gathering to discuss Brexit. Polls have also shown that Labour members are strongly in favour of staying in the customs union, as well as the single market.

On Sunday, Emily Thornberry, the shadow foreign secretary, said it seemed inevitable the UK would have to stay in some sort of customs union after Brexit.

“We cannot see a way forward when it comes to Northern Ireland or to tariff-free trade across Europe without us being in some form of customs union that probably looks very much like the customs union that there is at the moment, and that’s our position on that,” she told ITV’s Peston on Sunday programme.

The chairs of two key Commons committees will hear from business groups about the importance of a customs union, it was announced on Tuesday.

Nicky Morgan, the Tory MP who chairs the Treasury select committee, and Labour’s Yvette Cooper, who chairs the home affairs select committee, will host a meeting for MPs to hear from Carolyn Fairbairn, the director general of CBI, and others before the next stages of the customs bill.

Morgan said: “The government’s desire for trade to be as frictionless as possible is right but MPs need now to understand what that really means, and that is why it is important their local businesses have a chance to share their thoughts with us in Westminster.”

Cooper said: “The country and parliament may still be divided on other aspects of Brexit, but I think there would be a nationwide and parliamentary majority in favour of a good customs union deal.”

In his speech to the EEF conference, Corbyn said the government needed to clarify its position on leaving the EU.

“Business needs clarity, and with four out of six of the government’s road-to-Brexit speeches already delivered, it seems to me their approach to Brexit is, if anything, even less clear,” he said.

“It’s time for the cabinet to stop fighting and to say where it wants to take the country.”

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