Labour Split Over EU Re‑Entry As Conference Exposes Deep Divisions On Migration, Defence And Social Care

The Labour Party conference in Liverpool laid bare sharp disagreements over whether the UK should consider rejoining the European Union, while ministers set out competing priorities on migration, defence spending, welfare and social care.

EU Debate: Powell Rules Out Rejoining For Now, Miliband Keeps Options Open

Lucy Powell, the Education Secretary, told Politico that Labour's immediate priority is negotiating closer ties with the EU and that full re‑entry is "not possible nor desirable" at this stage. By contrast, Ed Miliband, the Foreign Secretary, declined to speculate about rejoining but argued there are "many areas where we can benefit from working more closely with the EU," citing trade, energy, defence and security.

Pressure from senior figures including Sadiq Khan and Tony Blair to rethink the party's stance continued to mount, although the leadership has repeatedly emphasised its commitment to the current manifesto red lines — no rejoin, no customs union, no single market — before the next general election. Prime Minister Andy Burnham has said Labour will not rejoin before the next election but has not ruled out considering the option afterward.

Home Affairs And Migration

Shabana Mahmood, the Home Secretary, faced intense scrutiny over proposed migration reforms that would extend the qualifying period for indefinite leave to remain from five to 15 years. In her conference speech she signalled willingness to compromise to be "fair" to existing migrants, amid calls from Angela Rayner and about 100 MPs to exempt roughly 185,000 care workers from the tougher rules.

Ms Mahmood announced new "safe and legal" sponsorship routes: community and student schemes that will open for applications in October, with the first arrivals expected in autumn next year. She also confirmed the UK resettlement route will reopen in partnership with the UN, and that a "further work route" for migrants seeking employment will begin next spring.

Economy, Welfare And Industrial Strategy

Chancellor John Healey used his speech to promise fiscal discipline while pushing a "new age of reindustrialisation." He described reining in the benefits bill as a "moral duty" and pledged to reveal Budget decisions on 28 October, including whether to extend the 5p fuel duty cut beyond 2026.

Key announcements included a £100m expansion of a local apprenticeships service and confirmation that Rolls‑Royce will invest an additional £300m in British factories. Healey stressed the need to spread growth beyond London and to back business-led investment to rebuild industry across the country.

Social Care And The Prime Minister's Priorities

Mr Burnham defended ambitious social care reforms, saying the NHS would collapse without urgent change and that he was prepared to "stake his premiership" on reform. He also indicated openness to adjusting migration rules affecting care workers while promising to "strike the right balance" between competing views in the party.

Defence, Security And A Suspected Plot

Wes Streeting, the Defence Secretary, reiterated the need to increase defence spending while protecting public services, reaffirming support for Ukraine and warning against intimidation and foreign interference. The conference was shadowed by a security incident after three suspicious vans were found near RAF Fairford; five men were arrested and counter‑terrorism police investigated possible links to Iran. Mahmood confirmed the scene was "now safe."

Other Major Policy Points

• Energy: Energy Secretary Miatta Fahnbulleh said the £15bn Warm Homes Plan will be devolved to mayors and local leaders, aiming to retrofit millions of low‑income households.
• Transport: Transport Secretary Heidi Alexander indicated new trains might be publicly owned where that best serves taxpayers.
• Business: Jonathan Reynolds pledged to crack down on bogus self‑employment and called for a renaissance of British industry.
• Local Controversies: Plans to house around 1,200 migrants at a former army garrison in Piddington prompted local protests; Labour said no final decision has been taken and that security concerns will be assessed.

Conference Atmosphere

The event blended policy announcements with moments of tension: Ed Miliband was confronted by protesters during a meal, a WhatsApp embargo leak circulated parts of Healey's speech, and union leaders called for measures such as a wealth tax. Throughout, the leadership sought to balance fiscal discipline with investment in industry, skills and public services while managing internal disagreement on Europe, migration and defence.

What Comes Next: Delegates and the public were told to expect further detail in upcoming speeches and the Chancellor's Budget on 28 October, and the leadership signalled it will continue consulting before making decisive manifesto commitments ahead of the next election.