Rishi Sunak and Jeremy Hunt were last night warned against seeking closer ties with the EU.
The Prime Minister and Chancellor reportedly want to put the UK on the path to a ‘Swiss-style’ relationship with Brussels to boost trade.
But former Cabinet minister Nadine Dorries said voters needed stability and a guarantee that Brexit was ‘safe’. Treasury sources insisted a new EU deal was not being discussed or considered.
Mr Hunt admitted last week however that Brexit had led to trade barriers.
Asked whether rejoining the single market would boost growth, the Chancellor replied: ‘Having unfettered trade with our neighbours and countries all over the world is very beneficial to growth. I have great confidence that over the years ahead we will find outside the single market we are able to remove the vast majority of the trade barriers that exist between us and the EU.’
The prospect of a Swiss-style deal has alarmed Tories, who fear it will cost them Leave-backing voters at the next election.