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    Home - Finance & Investment - Starmer urges EU to re-engage with UK at leaders’ meeting
    Finance & Investment

    Starmer urges EU to re-engage with UK at leaders’ meeting

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    Starmer urges EU to re-engage with UK at leaders’ meeting
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    Sir Keir Starmer on Monday night urged EU leaders to re-engage with Britain five years after Brexit, as he refused to “choose” between closer relations with Brussels or Washington.

    Starmer, the first British premier to address the European Council of EU leaders since Brexit, said he wanted a new defence and security pact to be at the heart of a “reset” relationship.

    Asked whether he could have close economic ties with both Europe and Donald Trump’s US, Starmer said: “Both of these relationships are very important to us . . . We aren’t choosing between them.”

    That assertion is likely to be tested in the coming months if Trump follows through on his threat of tariffs against the EU, while Starmer attempts to avoid such a fate by seeking improved UK trade terms with the US.

    Monday night’s European Council dinner at the Palais d’Egmont in Brussels was a symbolic rapprochement between the UK and EU, just over five years after Brexit took effect on January 31 2020.

    It was in the same palace that Conservative prime minister Edward Heath signed the treaty taking Britain into the European Economic Community — a forerunner to the EU — in 1972.

    Starmer hopes that by offering to work closely on military and intelligence issues with the EU — an area where the UK has traditional strengths — he can start to unlock wider economic benefits.

    The proposed security and defence pact — which will also cover areas such as tackling illegal migration — is expected to be wrapped up into broader UK-EU negotiations over the coming months.

    Negotiations with Brussels are likely to be tough for Starmer, with the EU demanding continued access to British fishing waters and a youth mobility scheme that would allow EU nationals aged below 30 to travel and work in Britain.

    A full EU-UK summit is expected to take place in April or May to try to galvanise those talks, with a growing sense in European capitals that the continent needs to heal old wounds, especially as Trump squares up against America’s transatlantic allies.

    Starmer is prepared to take some political risks, including seeking to remove barriers to trade in food products — even if that requires the UK to obey EU rules and the jurisdiction of the European Court of Justice.

    He is also looking to link the UK’s carbon emissions market to the EU’s own system and to potentially take part in an EU-Mediterranean trade area, a move that would stop well short of participation in the bloc’s customs union.

    The issue of Brexit remains toxic in the UK, even though a recent YouGov poll found 55 per cent of people now say it was wrong to leave the EU, with just 11 per cent seeing Brexit as more of a success than a failure.

    Conservative critics have dubbed the 50-strong team of officials charged with negotiating an improved Brexit deal — which is headed by former Treasury official Michael Ellam — the “surrender squad”.

    Starmer, speaking at Nato headquarters in Brussels before the EU meeting, said he wanted Britain and EU countries to be “ambitious” and work closely on defence co-operation, including in procurement of military equipment.

    “Our defence spending is now 2.3 per cent of GDP and we are working hard to set the path to 2.5 per cent,” he said. It is unclear when the UK will hit that target.

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    “We can’t be commentators when it comes to matters of peace on our continent. We must lead and that is what I am determined to do.”

    While France and other coastal states want to settle issues around fisheries as a prelude to a wider UK-EU deal, other countries will bring their own concerns to the table.

    “Of course, there is still one key piece to be completed in the UK’s post-Brexit settlement, and that is Gibraltar,” said a Spanish foreign ministry official. “Full normalisation will not be possible until this agreement has been reached.”

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