UK Proposes Single Market for Goods with EU as Post-Brexit Negotiations Continue
Overview of the UK-EU Single Market Proposal
Background and Initial Proposal
LONDON, May 23 (Reuters) - Britain's government proposed the creation of a single market for goods with the European Union in what would be an ambitious reset of its post-Brexit ties with the bloc, but Brussels has rejected the idea, British media reported.
EU Response and Alternative Suggestions
The Guardian said the EU instead suggested Britain should join a customs union or agree to deeper economic alignment via the European Economic Area, both of which would require Prime Minister Keir Starmer to reverse his refusal to allow free movement of workers.
Ongoing Negotiations and Future Discussions
UK officials told The Guardian that the EU has not definitively rejected a single market for goods and the idea was among options for discussion at a planned EU-UK summit expected in July.
Government Statements and Media Reports
A spokesperson for Britain's Cabinet Office said the government was negotiating "an ambitious package of measures" ahead of the summit, including a sanitary and phytosanitary deal for trade in food and drink and another on emissions trading.
The spokesperson declined to comment on the report in The Guardian which appeared late on Friday and a similar story published by the BBC on Saturday.
Political Reactions and Implications
Labour Government's Position
Starmer's Labour government has talked increasingly about the economic costs of Brexit, and his finance minister Rachel Reeves said in March that London was ready to align with many EU business rules to lower the barriers to trade.
British voters decided to leave the EU in a referendum in June 2016.
Potential Political Challengers
Wes Streeting, who recently stepped down as UK health minister and is seen as a potential challenger to Starmer, has said that Britain should one day return to the bloc.
Another possible challenger, Manchester mayor Andy Burnham, said on Monday he was not proposing that Britain consider rejoining the EU.
Current Political Climate
Starmer's grip on Downing Street is in doubt after poor local and regional election results.
Editorial Note
(Writing by William Schomberg; Editing by Susan Fenton)
