Chancellor Rachel Reeves has insisted Labour can win the political argument for a closer relationship with the EU, calling it the “biggest prize” for UK economic growth. Speaking at a Bruegel thinktank event in London, she said stronger alignment with Europe is vital, noting that “almost half of our trade is the EU.”
Reeves acknowledged that further integration would require “further alignment” with EU rules and standards, stating: “I’m up for that.” She highlighted ongoing discussions on a food and farming agreement, a youth mobility scheme, and participation in the EU’s carbon border adjustment mechanism as just “first base.”
The chancellor also stressed the importance of defence cooperation with European allies, urging them to press ahead on procurement. “Russia is not going to sit on the sidelines,” she warned. Her comments come ahead of a review of the UK-EU trade deal and a summit on the “reset” in the coming months.
Shadow chancellor Sir Mel Stride criticised the approach, saying: “It’s no secret that Reeves and Starmer have wanted to row back on Brexit since day one.” He accused Labour of blaming Brexit for economic failures rather than their own policies.
