Hammond refuses to rule out post-Brexit customs union with EU

PUBLISHED: 09:53 05 January 2018 | UPDATED: 09:54 05 January 2018

Chancellor of the Exchequer Philip Hammond

$image.copyright

Chancellor Philip Hammond has refused to rule out Britain being part of a customs union with the European Union after Brexit.

Become a Supporter

The New European is proud of its journalism and we hope you are proud of it too. If you value what we are doing, you can help us by making a contribution to the cost of our journalism

The Remain supporter, whose opposition to a hard exit from the bloc has angered some of his colleagues, left the door open to the UK signing up to an agreement that could restrict international trade deals.

MPs called on the Cabinet to urgently come to a decision about the key element of the upcoming negotiations with Brussels.

Mr Hammond was asked by the Treasury select committee to "explicitly rule out the UK participating in a customs union with the EU as part of its end-state relationship".

The chancellor sidestepped the question and insisted the government would be "guided by what delivers the greatest economic advantage" to the UK.

A customs union would curb the need for border checks but could also restrict the trade agreements the UK could seek outside it.

Nicky Morgan, who chairs the Treasury select committee, said: "It was widely thought that being in a long-term customs union with the EU had been ruled out by the government.

"But the chancellor's letter confirms that this is not the case.

"It is vital that the Cabinet reach agreement on these central questions about the UK's future relationship with the EU, as a matter of urgency."

Become a Supporter

The New European is proud of its journalism and we hope you are proud of it too. We believe our voice is important - both in representing the pro-EU perspective and also to help rebalance the right wing extremes of much of the UK national press. If you value what we are doing, you can help us by making a contribution to the cost of our journalism.

Become a supporter

You've seen the news, now discover the story

The New European is committed to providing in-depth analysis of the Brexit process, its implications and progress as well as celebrating European life.

Try 13 weeks for £13

Latest Articles

Most Read

latest issue

ANTI-BREXIT EVENTS

Find your nearest anti-Brexit campaigning activities, talks, protests and events nationwide.

Newsletter Sign Up

The New European weekly newsletter
Sign up to receive our regular email newsletter

Our Privacy Policy