Labour conference speech in Liverpool

At the Labour Party annual conference on the banks of the River Mersey in Liverpool, British Prime Minister Andy Burnham announced a departure from previous government policy on Europe. Burnham addressed delegates and argued that the 2016 referendum result had weakened the country rather than delivering the promised sovereignty over domestic rules and borders. In his address, he challenged the previous positions set under former prime minister Keir Starmer, who had maintained commitments to keep Britain outside European institutions. Burnham stated that the economic and political outcomes of the exit required an open reassessment of the relationship with the continent.

“Brexit has done more harm than good.”

Economic impacts and policy alternatives

A recent study by the National Bureau of Economic Research estimated that British economic output is 6% to 8% lower than it would have been had the country remained in the European Union. Burnham presented five distinct paths for future engagement, including maintaining the current status quo, negotiating a bespoke cooperation pact, joining the European customs union, entering the single market, or seeking full EU re-entry. Entering a customs union would eliminate tariffs on goods trade across the English Channel, but it would not cover the services sector, which generates about 80% of British economic output. Rejoining the single market would ease barriers for services, but it would require accepting the free movement of workers and adopting regulations without voting rights.

Services share of UK economic output80%

Britons supporting EU return or closer ties in polling60%

Services share of UK economic output

80 %

Britons supporting EU return or closer ties in polling

60 %

Data from the article text

Political reactions and electoral timetable

The proposal diverges from Labour's 2024 general election manifesto, which explicitly ruled out returning to the EU, the single market, or the customs union. Burnham explained in broadcast interviews with the BBC that any formal move toward rejoining or altering trade treaties would not occur during the current legislative term and must await approval in a future manifesto for an election that could take place in 2029. Nigel Farage, leader of Reform UK, stated that reopening the European question would mobilize voters in former industrial constituencies across the north of England. Meanwhile, recent polling indicates that roughly 60% of British respondents support either rejoining the bloc or establishing significantly closer institutional ties.

“We have lost part of the control we had over our economy, since a decade of low growth has left us in a weaker position, and we have lost part of our control over immigration.”

Diplomatic preparations in Brussels

In London, the newly appointed European Union ambassador to the United Kingdom, Jukka Salovaara, indicated that Brussels is prepared to hold discussions once British leaders establish a concrete negotiating position. The 58-year-old Finnish diplomat, who previously served as permanent secretary in Finland's foreign ministry, defined his responsibilities as facilitating communication between both capitals. Burnham is scheduled to attend his first EU summit in November 2026. Salovaara noted that early discussions are expected to focus on practical cooperation, such as food safety standards and linking carbon emissions trading systems, while broader trade rules remain subject to forthcoming EU legislation.

“Everyone tells me my job is explaining London to Brussels and Brussels to London.”