Mon, 05 Jan 2026

Mon, 05 Jan 2026 What's behind PM's notable shift on closer ties to Europe?

Sir Keir Starmer has given details of his plans for a "Brexit reset". What could it mean for the UK?

* Closer economic relations with EU will be part of annual bilateral talks, not just at formal review.
* Labour leader Sir Keir Starmer says rejoining customs union is not a priority, but wants closer relationship with single market.
* "Brexit reset" to focus on aligning with EU rules in areas such as food and farm exports, electricity, and emissions trading.
* British Chambers of Commerce reports 989 business members agree UK-EU trade deal is not helping sales growth.
* European capitals have been underwhelmed by lack of ambition in previous Brexit resets.
* Arrangements for VAT, manufacturing, automotive, and chemicals may also see alignment with single market rules.
* Plan to join €150bn Security Action For Europe defence loan fund has stalled over membership fee objections from France.
* UK has agreed deal to rejoin Erasmus university exchange and youth jobs scheme, clearing way for further talks.
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