Labour push to unravel Brexit deepens as Tech Sec says it’s ‘crazy’ to ignore customs union

LABOUR’S drive to unravel Brexit intensified today after a minister called it “crazy” to ignore the customs union.

Tech Secretary Peter Kyle hinted at hauling Britain closer to Brussels, saying we must weigh up where the “best opportunities” lie for the economy.

London, England, UK. 13th Jan, 2026. Business and Trade Secretary PETER KYLE, arrives at Downing Street ahead of a Cabinet meeting. (Credit Image: ¿ Thomas Krych/ZUMA Press Wire) EDITORIAL USAGE ONLY! Not for Commercial USAGE!
Tech Secretary Peter KyleCredit: Alamy

The remarks came despite Sir Keir Starmer previously ruling out the move — and warnings it could torpedo other trade deals.

Speaking at the World Economic Forum in Davos, Mr Kyle said: “When it comes to the to the customs union, you know, we need to be having these conversations as a country about where is the best anchor, what is the best opportunities for Britain’s economy post Brexit.

“Now, of course, it would be crazy not to engage with the prospect of a customs union.”

The Tech Secretary’s comments jarred with Chancellor Rachel Reeves, who gave a more definitive “no” when quizzed on a customs deal in Davos.

Ms Reeves told Bloomberg TV: “It was very clear in our manifesto that we wouldn’t be re-joining the customs union, the single market, or bringing back free movement of labour.”

She added: “I don’t think you have to return to the customs union to seize greater benefits of free and fair trade.”

Mr Kyle isn’t the first Cabinet minister to spark fury by hinting Brexit could be watered down.

Health Secretary Wes Streeting and Justice Secretary David Lammy have also been fierce advocates of the move.

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