Ten years after the referendum, Brexit continues to shape British politics and has contributed to Labour's electoral setbacks, according to an analysis by economist Larry Elliott. The piece argues that Keir Starmer's noncommittal approach to Brexit has worsened the UK's economic and political situation, leaving voters disillusioned with both main parties.
Elliott notes that the promise of 'taking back control' resonated with many Britons who felt left behind by globalisation and austerity. However, the UK has since failed to utilise Brexit freedoms to rejuvenate deprived areas or rebuild manufacturing. Instead, only the financial sector has thrived under a lighter regulatory regime.
Living standards have stagnated for nearly two decades, and recent elections showed voters punishing Labour and the Conservatives. The Greens succeeded in Remain areas, while Reform UK gained in Leave-voting regions. Elliott warns that Starmer's recent reset—seeking closer EU ties without rejoining the single market or customs union—is doomed.
He argues that only two coherent approaches exist: either fully exploit Brexit opportunities by adopting policies like tariffs and subsidies, or admit Brexit was a mistake and campaign to rejoin the EU. Starmer's current triangulation, says Elliott, neither satisfies Brexit supporters nor addresses the economic damage.
