Sir Keir Starmer is drawing up plans for a scheme as part of attempts to thaw relations with Brussels following Brexit, according to The Times.
The plan will not offer full freedom of a youth mobility scheme, however, Britons aged 18-30 would be allowed to work and live in the EU for two years, with the possibility of a one-year extension. Reciprocal rights would be given for EU citizens to come to the UK.
The Times says the scheme would be subject to an annual cap with those coming to the UK having to pay a fee for NHS services and unable to claim benefits.
Details are being drawn up in time for talks in London on 19 May.
A similar scheme is already in operation between the UK and Australia, with a cap of 45,000 visas a year. It demands around £1,500 for health services and a £298 fee, something the EU may resist.
A government spokesperson told the paper there were no plans to ask for full pre-Brexit-style freedom of movement: “We do not have plans for a youth mobility agreement. We have been clear there will be no return to freedom of movement, the customs union or the single market.” However, the spokesperson added the government was willing to “listen to sensible proposals”.
The news comes after MPs committed to laying a bill designed to cut through "a tangle of Brexit red tape", including allowing seasonal workers abroad. However, it is not due to receive a second reading in parliament until July.
Abta has made the issue one of its core focuses since Brexit, stressing the opportunities for young people to develop language skills and address labour shortages by working abroad.
Luke Petherbridge, Abta’s director of public affairs, told TTG: “Youth mobility arrangements with EU countries would ease some of the staffing pressures travel businesses are facing in resort. It’s now much trickier to hire UK staff and post them in EU roles; each country has a different process that takes time and can be pretty costly.
“We’ve been advocating for youth mobility arrangements for some time now, and we do believe our argument is gaining traction across the parties. It is clearly a big political issue that is going to be wrapped up in negotiations around the UK-EU relationship. We’ll continue to push this issue with the government and with MPs of all parties.”
Naomi Smith, chief executive of Best for Britain which has campaigned for a scheme since May 2023 added:
“If these reports are accurate, this is a very welcome and common sense move from the government to give opportunities back to young Brits while helping businesses across the UK struggling with labour shortages.
"With our polling consistently showing that around 60% of voters back the idea, it really is a win-win for both the UK and EU.”
