Labour would work to improve parts of trade deal with EU - Reeves

Labour would try to improve elements of the UK's trade deal with the EU, Rachel Reeves has indicated, while also saying that most financial services companies have "not regarded Brexit as being a great opportunity for their businesses".

- Peter Walker, Jennifer Rankin

Labour remains committed to not making any major changes to Brexit, but the shadow chancellor's comments show the party could make more policy moves on EU trade links than previously believed.

In an interview with the Financial Times, Reeves said that as part of wider moves to "reset" Britain's global image, a Labour government would take a less adversarial approach to dealings with the EU, with less insistence on regulatory divergence.

Areas where it could see closer alignment with EU rules could include the chemicals sector and a revised deal for workers in the City of London, Reeves told the paper.

"I don't think anyone voted leave because they were not happy that chemicals regulations were the same across Europe," Reeves said. "When my constituency voted leave it was purely because of immigration."

She told the FT that the party could introduced a "bespoke" arrangement for the chemicals industry, to try to avoid costs connected to having to register products with a UK system.