Lib Dem Leader Davey Urges UK to Rejoin EU Customs Union

Liberal Democrat leader Sir Ed Davey has stated that the UK should negotiate a new customs union agreement with the European Union.

In a speech in London, he emphasized that such a deal is crucial for strengthening Britain’s economy and ensuring it can approach the upcoming Donald Trump presidency from a position of strength.

According to a party source speaking to the BBC, this policy is a pragmatic step to "turbocharge" the economy and moves the party closer to its ultimate goal of rejoining the EU.

Sir Ed also cautioned that Trump could not be trusted to "play by the rules" or honor international agreements.

He suggested that Trump should be invited for a state visit to the UK, but only if he provided financial and military support for Ukraine.

Sir Ed stated that the president-elect "craves" the grandeur of Buckingham Palace and a banquet with the King.

The Liberal Democrat leader’s speech strongly criticized Trump, who is set to begin his second term as president on Monday, calling him "the first convicted criminal" to take the oath of office.

Sir Ed pointed out that Trump had praised President Putin's invasion of Ukraine as "genius," declared "trade wars are good," and referred to himself as "tariff man."

He warned that the new US administration would pose "a threat to peace and prosperity" globally.

However, he added that "The Donald" could not be ignored and must be engaged with.

Sir Ed criticized Conservative leader Kemi Badenoch for wanting to go "cap in hand" to Trump and "beg for whatever trade deal he'll offer us."

He also described Reform UK leader Nigel Farage as "fawning over Trump and licking his boots," more focused on promoting Trump's agenda in the UK than safeguarding Britain's interests abroad.

"If we seem as weak or as desperate as the Conservatives or Reform would have us appear, Trump will treat the UK the same way he has treated so many throughout his career", he argued.

He stated that the UK must urgently strengthen its relationships with other trading partners, including European neighbors, to demonstrate to Trump that Britain "won't be bullied."

In response, Conservative shadow foreign secretary Priti Patel accused the Lib Dems of "seeking to overturn a democratic vote."

She said: "Our divorce from the EU was finalised and politicians in this country should be focused on delivering for the British people.

"If they think overturning the democratic will of this country, and damaging the special relationship we have with one of our closest allies, is a good approach then it is clear they are even more unfit for government than we thought."

Reform's deputy leader, Richard Tice, told the BBC that the Lib Dem's call for a new customs union deal revealed "how clueless they are," as President Trump is far more likely to impose tariffs on the European Union.

He added that Trump was "delighted" by the UK's departure from the EU and questioned why Britain would want to align itself with "an ailing economic model."

Countries in a customs union agree not to impose tariffs or customs checks on each other's goods, but under EU rules, they are also unable to negotiate their own trade deals.

Prime Minister Sir Keir Starmer has advocated for a reset in relations with Brussels but has firmly excluded the possibility of rejoining the customs union or the EU's single market, which ensures the free movement of goods, capital, services, and people within the bloc.

Business Secretary Jonathan Reynolds said the Lib Dems "only ever think about Europe".

"Of course it is a major market, but this is a government that wants to improve that relationship with the EU but also wants to do work with the US, with India, with the Gulf," Reynolds told BBC Breakfast.

"I think the UK could be positioned as the best economy between those major trading blocs and I think what the Lib Dems are saying today is not taking into account that wider global position".