London Mayor Sadiq Khan has urged the U.K.’s Labour Party to commit to rejoining the European Union in its manifesto for the next general election, following a disappointing performance in recent local elections. In an interview with CNBC, Khan emphasized the need for the party to be “bolder and braver,” warning that failure to act decisively could lead to significant electoral losses. He highlighted the importance of rebuilding ties with the EU, particularly in light of economic challenges exacerbated by global events.
Khan’s call to action comes as Labour leader Keir Starmer has indicated a willingness to strengthen alignment with the EU’s single market and customs union. The potential shift in policy could have substantial implications for the U.K. economy, especially as Khan described Brexit as a major economic setback. Rejoining the EU could enhance trade relationships and provide a pathway to address the ongoing cost-of-living crisis.
For market professionals, Khan’s statements signal a potential shift in U.K. economic policy that could impact investment sentiment and trade dynamics, particularly if Labour gains traction with this strategy ahead of the next election.
Source: cnbc.com