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Thirteen Labour MPs have recently supported a Liberal Democrat bill that calls on the government to initiate negotiations for the UK to join a bespoke customs union with the European Union. This move contrasts with Labour’s manifesto, which explicitly ruled out re-joining the existing EU customs union, and Prime Minister Sir Keir Starmer’s recent statements that such a policy is “not currently our policy.”
The vote on this bill resulted in a rare tie, with 100 MPs voting in favor and 100 against. The Deputy Speaker, Caroline Nokes, was required to cast the deciding vote, choosing to support the bill “in order to allow for further debate.” Despite this progression, the bill faces slim chances of becoming law without backing from the government. This marks the first tied vote in the House of Commons since 2019, when MPs voted on alternative Brexit proposals.
Among those Labour MPs who backed the bill were Richard Burgon, Dawn Butler, and Dame Meg Hillier, while the majority of Labour members abstained, and three voted against it. On the opposition side, 89 Conservatives and four Reform UK members opposed the bill. Liberal Democrat leader Sir Ed Davey described the outcome as a “historic victory” and urged the Prime Minister to drop his “self-imposed red lines” and pursue an ambitious trade agreement with the EU, emphasizing the need for “proper growth.”
The customs union facilitates trade by harmonizing tariffs across member states, easing the exchange of goods within the bloc. Since Brexit, the UK has left this arrangement but has sought closer ties with the EU through agreements on food standards, electricity trading, and youth visas. Liberal Democrat Europe spokesperson Al Pinkerton told MPs that the customs union bill would “cut red tape, unlock investment and restore certainty to British business,” describing Brexit as “an abject economic failure” that harmed investment, economic resilience, and trade. However, Conservative Simon Hoare opposed the bill, arguing that joining a customs union would defy the referendum outcome and create uncertainty for businesses. He also pointed out that such a move could disrupt trading relationships with non-EU countries like Australia, emphasizing that there is “neither interest in it nor appetite for it” within the EU.
In recent months, criticism of Brexit has grown louder within the Labour Party. Sir Keir Starmer acknowledged in a Guardian article that “the botched Brexit deal significantly hurt our economy.” Deputy Prime Minister David Lammy also voiced concerns on The News Agents podcast, stating that leaving the EU had “badly damaged our economy,” removed the UK from an important marketplace, and introduced friction. When questioned about the idea of the UK joining a customs union with the EU, Lammy clarified it was “not currently our policy,” but noted Turkey’s experience as a non-EU country that benefits economically from its customs union with the EU
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