Closer UK and EU ties will boost growth, says Reeves

Closer relations betwixt the UK and the EU volition boost economical growth, Rachel Reeves volition archer European concern leaders connected Monday.

In the archetypal code by a British chancellor to the Eurogroup since Brexit, Reeves volition accidental resetting relations means "breaking down barriers to trade" arsenic good arsenic helping "businesses merchantability successful each other's markets".

While Labour has ruled retired rejoining the bloc, it has repeatedly said it wants the UK to "deepen ties" with the EU.

The British Chambers of Commerce (BCC), which represents astir 50,000 businesses, said that successful bid for the system to turn "we indispensable export more" but UK firms "are struggling nether immense regulatory and paperwork burdens".

At the Eurogroup concern ministers gathering successful Brussels, Reeves volition suggest gathering a "mature, business-like relationship" betwixt Britain and the EU.

"I cognize that the past fewer years person been fractious," she volition archer her European counterparts. "Division and chaos defined the past government's attack to Europe. It volition not specify ours."

She volition say: "I judge that a person economical narration betwixt the UK and the EU is not a zero-sum game. It's astir improving some our maturation prospects."

Liberal Democrat Treasury spokesperson, Daisy Cooper, said: "The Conservatives' botched Brexit woody has been a catastrophe for the economy, with tiny businesses, farmers and fishers each caught up successful endless reddish tape."

The Conservative Party has been contacted for comment.

Last period successful a highly antithetic move, Andrew Bailey, politician of the Bank of England, said that the UK indispensable "rebuild relations" with the EU.

The politician has avoided commenting connected Brexit due to the fact that of the Bank's independency from Westminster politics.

He said: "The interaction connected commercialized seems to beryllium much successful goods than services... But it underlines wherefore we indispensable beryllium alert to and invited opportunities to rebuild relations portion respecting that precise important determination of the British people."

The export of goods, specified arsenic successful nutrient and farming, has been impacted by caller commercialized barriers. But services, including banking, person performed amended than expected.

Labour has said it is committed to implementing post-Brexit agreements struck nether the erstwhile Tory government.

These see the Windsor Framework which covers commercialized betwixt the UK and Northern Ireland.

But Reeves volition archer concern ministers: "The reset successful relations is astir doing what is the champion interests of our shared economies and those that beryllium connected it.

"That means breaking down barriers to trade, creating opportunities to put and helping our businesses merchantability successful each other's markets."

Reeves volition springiness her code astatine a cardinal clip for some the UK and European economies aft President-elect Donald Trump threatened to enforce tariffs of up to 20% connected each goods imported into the US.