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An Warning to Keir Starmer from His Personal History: Without Boldness on Britain's EU Exit & the EU, Your Party Challengers Might Be.

Seven years ago, a mere eight words to energize the party's annual gathering and to show the party was becoming disillusioned with its then leader. Although not precisely soaring oratory, the words met with rapturous applause as delegates stood for an impromptu ovation.

When the noise subsided, the then-Brexit spokesman, remained at the lectern, visibly startled. He wasn't really accustomed to his addresses producing such a reaction. All he had said was: "We are not excluding staying in the EU". Context, however, is key.

In that darkly divisive time in 2018, straying from the prepared script like this was inevitably viewed as issuing a challenge to Jeremy Corbyn, who sought to prioritize leave supporters in key constituencies above the pro-European instincts of his party. In just one speech, this grey-suited shadow Brexit secretary underwent a transformation – albeit temporarily – into a political gambler who would stand up for most Labour MPs, members and voters against a leader he would later replace.

The Evolution in Position & Settled Issues

Since then, the landscape has shifted, not least to Starmer himself. An early move upon assuming leadership from Corbyn in 2020 was declaring the Brexit issue had been settled by the previous year’s national vote. During the most recent campaign, he consistently stressed unbreakable pledge promises that ruled out rejoining the European Union or its core structures.

Like his predecessor, his strategy has focused on winning pro-Leave voters in key seats, even if survey data suggests a significant number have passed away or shifted opinion.

A Lid That Rattles on the EU

Yet, it’s now the prime minister’s turn to be an embattled party leader. While EU relations is no longer the boiling pot of British politics, the cap which was firmly shut for five years is starting to loosen once more.

The Prime Minister and Chancellor have intensified the rhetoric regarding the damage that leaving the EU has inflicted on the UK’s economy. This serves as an effective tool to criticize Nigel Farage, who now rarely mentions how leaving the EU was once his singular purpose and remains his only real achievement.

Nevertheless, the extent of the economic harm, reportedly has resulted in a national economy that is significantly diminished compared to EU membership, dwarfs the minor adjustments so far offered by the government. Starmer’s so-called re-set deal negotiated with the EU in 2024 offers economic benefits quantified in low decimal points.

Cabinet Divergence & Bolder Ideas

The chancellor is one of those attempting to bypass long-standing Home Office resistance to a broader scheme of a growth-enabling program for young people allowing youths can travel between the UK and the EU to study or work.

The deputy prime minister has pondered publicly about the clear advantages of being in an EU customs pact, as several Labour backbenchers, including the chair of the Treasury select committee, last week supported a Liberal Democrat motion on customs union membership.

While Nick Thomas-Symonds, who oversees EU policy, who is now attending every cabinet meeting, maintains the red lines are still in place, there exist avenues these could be bypassed. One idea involves announce the start of talks immediately on a much bolder deal, to be featured in the following election platform, to be enacted only after securing a fresh mandate.

Starmer's Fundamental Scepticism

However, Starmer has lately been pouring cold water again cautioning that a return to a European customs area would “unravel” the trade pacts with the US, which he views as signature achievements of his premiership.

It is understood that the PM’s scepticism go still deeper, stemming from three further factors.

  1. First, he believes any customs union agreement is now significantly more difficult as ministers are actively diverging from European rules in numerous sectors, like environmental standards.
  2. Second, the exorbitant price set for the UK for entry into the EU’s new defence fund and the ensuing failure in talks has convinced UK negotiators that former EU partners are less interested in offering favorable terms to the UK than in demonstrating that leaving the EU was a mistake.
  3. Thirdly, America's latest security doctrine, praised by the Kremlin, is seen by key advisors in Downing Street as a reason for the UK to maintain distance from the EU.

A Bizarre Strategy & Strategic Considerations

This strange and concerning document claims Europe faces cultural extinction due to Muslim migration. It contains a single mention of the UK, placed beside a proposal that Donald Trump’s administration may interfere in our politics to foster the rise of “patriotic” parties.

However, instead of concluding that this renders America an unreliable partner, the government is worried that deeper EU integration could upset the global balance by risking precarious American backing for Ukraine, Nato and much more besides.

Leadership Speculation and The Ghost of 2018

All of which returns us to the conference of 2018. Starmer has always said that address was not a pitch for the leadership but simply an attempt to preserve the possibility of staying in the EU in a future vote. In fact, in those days, he still supported a “bespoke customs union deal” similar to the one he now appears to be opposing.

Observers within the Prime Minister's office note that Wes Streeting, widely considered would be a candidate in any leadership election, is part of a group of senior ministers signaling they desire greater ambition on Europe.

Staff for the Deputy Prime Minister, another likely contender in a future race for the top job, maintain she won’t discuss her position on a customs union because it would only “escalate unhelpful speculation”.

The Obvious Danger & A Wise Memory

The risk is clear. Should the PM reject more meaningful steps towards EU alignment, he cedes ground to occupy the space where most of the party's supporters reside.

It would be prudent for Starmer to recall the effect just a few words had on his career in 2018. There are options for a major proposal on EU relations that the prime minister ought to consider; he should prise them open personally, before someone else makes them his – or her – own.

About the author

Jessica Arellano

A financial analyst with over a decade of experience in wealth management and economic forecasting, passionate about simplifying complex financial concepts.

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