UK seeks smoother trade with EU but customs union is ‘red line’, Cooper says

Keir Starmer will seek to improve customs arrangements with Europe without returning to a full union with the bloc, the home secretary has said.

As the prime minister heads to Brussels as part of his attempted reset with the EU, Yvette Cooper said it was still a red line that the UK would not be part of a customs union or single market.

Starmer’s trip to the EU on Monday comes amid worries about the potential impact of Donald Trump’s trade tariffs on Mexico, Canada and China, and the potential knock-on effect on global growth.

Cooper, when asked if it was time for the UK to get closer to the EU again, said: “We want stronger trading relationships all over the world.

“It’s why we’ve been working on resetting the relationship with our European neighbours so that we can improve the trade, so that we can improve law enforcement cooperation. We’re doing the same, for example, on tackling the dangerous small boat crossings.

“We need that stronger cooperation with France, with Germany, so, of course, we need to strengthen that cooperation and also look for stronger trading relationships with the US and other countries.”

Pressed on Sky News’s Sunday Morning with Trevor Phillips programme on what different customs arrangements could mean, she said the government wanted to “get rid of some of the bureaucracy” across borders. Cooper ruled out joining the customs union as a “red line” but left the door open to the possibility of another type of customs deal.

Cooper also said the US president’s tariffs could have a “really damaging impact” on the global economy, telling the BBC’s Laura Kuenssberg: “I don’t think it’s what anybody wants to see.”

Brussels is looking for a youth mobility scheme and concessions on fishing rights and following EU laws, while Starmer’s priorities are a defence and security pact, as well as smoother trade.

Cooper described a youth mobility scheme as “not the right starting point for us at all” but the government has been careful not to rule it out as part of an overall deal.

Starmer’s attempted reset with Brussels has led Ed Davey, the leader of the Liberal Democrats, to call for full fiscal forecasts of what a customs union could contribute to growth.

In a letter to the chancellor, Rachel Reeves, he said the Treasury should commission the Office for Budget Responsibility (OBR) to analyse the impact a customs deal with the EU would have for the UK economy and public finances.

“The chancellor is tying herself in knots trying to think up new ways to grow our economy. But there’s a solution right under her nose: a new UK-EU customs union deal that boosts trade for British businesses and raises vital tax revenue for our public services,” he said.

“It’s a no-brainer. After years of damage thanks to the Conservatives’ botched trade deal with the EU, this would improve access to our biggest trading partner and put rocket boosters under economic growth.”