Reform UK leader Nigel Farage has issued a stark warning that he will not pay any financial compensation to the European Union should he enter Downing Street and rip up a new Brexit agreement being negotiated by Sir Keir Starmer's government.
The 'Farage Clause': A Bid for Long-Term Stability
Sir Keir Starmer is poised to agree a new pact with Brussels, which includes a specific clause designed to prevent a future administration from unilaterally scrapping the deal. This so-called 'Farage clause' is a direct response to concerns in Brussels that a Reform government led by Mr Farage could dismantle Labour's efforts to reset UK-EU relations.
EU officials are demanding the UK provide a guarantee of 'significant financial compensation' if the agreement is terminated prematurely. According to a draft text seen by the Financial Times, this compensation would cover costs for infrastructure, equipment, and staffing needed to re-establish border controls that the deal seeks to minimise.
An EU diplomat stated the bloc wants a 'safety provision to provide stability and a deterrent for Farage and co', emphasising a desire for a long-term agreement that survives beyond the next election, due by 2029.
Farage's Fury and Starmer's Strategic Alignment
Mr Farage condemned the move in unequivocal terms, invoking a core constitutional principle. 'No Parliament may bind its successor, we will not honour any clause,' he declared. 'If Starmer signs this, it is a democratic outrage.'
His defiance comes as Sir Keir Starmer advances plans for a much closer trading relationship with the EU, despite Labour's manifesto commitment to respect the 2016 referendum result. The Prime Minister indicated last week that closer alignment with the single market would be considered if in the 'national interest'.
This strategy is already taking shape through 'dynamic alignment' in forthcoming legislation. This process will mean UK laws in sectors like food, farming, and the electricity market are automatically updated to match new EU regulations, with expectations this will extend to other areas. The policy aims to secure easier access to the single market for British businesses.
Cross-Party Condemnation and Constitutional Clash
The attempt to lock in a future government has sparked anger across the political spectrum. Conservative frontbencher Saqib Bhatti accused the EU and Sir Keir of a 'lack of respect for our parliamentary democracy', saying the move 'reeks of arrogance and desperation'.
The Conservatives have pledged to scrap Sir Keir's plans if they return to power. Former Brexit minister Lord Frost warned the Prime Minister's approach would 'deprive us of the ability to set our own rules for our own interests' and leave the UK subject to Brussels' decisions without a say.
Former home secretary Suella Braverman framed the situation as the 'London and Brussels establishment' despising 'the will of the British people'. The escalating row sets the stage for a major constitutional and political battle over the UK's future relationship with Europe.
