The Liberal Democrats are set to urge the Labour Party to shed its cautious approach and take bold steps toward rejoining the European Union's single market, according to party sources. The move comes as the Lib Dems seek to capitalize on growing public discontent with Brexit's economic fallout.
Party Conference Motion
At their upcoming party conference, Liberal Democrat members will debate a motion calling on Labour to "drop its torpor and timidity" on Europe and commit to a roadmap for single market membership. The motion argues that rejoining the single market would boost trade, protect jobs, and restore economic stability.
Economic Arguments
Lib Dem leader Ed Davey is expected to emphasize the economic case, pointing to Office for Budget Responsibility forecasts that Brexit has reduced UK GDP by around 4%. "We cannot afford more years of stagnation," a senior Lib Dem source said. "Labour must show leadership and embrace the single market."
The motion also highlights that rejoining the single market does not require full EU membership, allowing the UK to retain control over immigration and budget contributions. However, it would require accepting EU regulations and freedom of movement for goods, services, and capital.
Political Strategy
The Liberal Democrats, who have long championed closer EU ties, see this as an opportunity to differentiate themselves from Labour and the Conservatives. Recent polls suggest a growing number of voters now believe Brexit was a mistake, with YouGov data showing 56% of Britons would vote to rejoin the EU if a referendum were held today.
Labour, under Sir Keir Starmer, has ruled out rejoining the single market or customs union, focusing instead on improving the existing Brexit deal. But internal party divisions persist, with some Labour MPs and members pushing for a more pro-European stance.
Conservative Reaction
The Conservative government has dismissed the Lib Dem proposal as "unrealistic" and damaging to British sovereignty. A government spokesperson said: "We have no intention of rejoining the single market. Our focus is on seizing the opportunities of Brexit."
However, business groups have welcomed the debate. The Confederation of British Industry (CBI) has repeatedly called for closer alignment with EU regulations to reduce trade friction.
The Liberal Democrats hope their motion will pressure Labour into shifting its position ahead of the next general election, expected in 2029. With the party currently polling third, the conference will be a key test of its ability to influence the political agenda.
