Andy Burnham, a prominent figure in the UK Labour party, has broken with party orthodoxy by suggesting that the decision to leave the European Union has harmed the UK economy. He is exploring options for the UK's future relationship with the EU, including potential rejoining.
A potential shift in the UK's stance on Brexit could significantly alter its economic trajectory and trade relationships, impacting sectors like manufacturing and finance. The EU's evolving industrial policies also present challenges for non-member nations seeking market access.
Andy Burnham, a prominent figure within the UK Labour party, has initiated a discussion about potentially reversing Brexit, suggesting that the decision to leave the European Union has been detrimental to the UK economy. In a speech at the Labour party conference, Burnham stated that leaving Europe's core political community had done "more harm than good," effectively challenging his predecessor's "red lines" on Europe.
Burnham plans to assess public support for various future relationship options with the EU over the next six weeks, with rejoining the 27-nation bloc being one possibility. This marks a significant departure from Labour's previous stance, which, as outlined in its 2024 election manifesto under Keir Starmer, ruled out returning to the single market, customs union, or free movement of people.
Analysts like Joël Reland from the UK in a Changing Europe thinktank highlight the novelty of a UK politician in power publicly acknowledging Brexit as a failure that requires fundamental redress. Previous Labour messaging focused on improving the existing Brexit deal, whereas Burnham is suggesting that the deal itself is not working and a different approach is needed.
Economic rationale is a key driver for this potential shift, as rejoining the largest trading partner could foster economic growth necessary for Burnham's reform agenda. The current 're-set' agenda with the EU has faced obstacles, and the UK's lack of bargaining power outside the bloc has been evident, with attempts to secure selective single market access being rebuffed.
Geopolitical factors are also influencing the debate. The EU's "Made in Europe" initiative, aimed at bolstering the bloc's industrial power against competition from China, could disadvantage UK industries like the automotive sector if the UK remains outside the single market. French President Emmanuel Macron's response to Burnham's remarks, a possibly ironic "Welcome back!", underscores the EU's stance that benefits of the internal market come with associated costs and adherence to rules.
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