More than 80 senior figures in the Labour Party have urged Jeremy Corbyn to commit to remaining in the EU single market after Brexit.
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It comes a day before Mr Corbyn is expected to commit Labour to backing a customs union with the EU.
In a statement seen by the Observer, figures including Lord Mandelson and trade union leaders Bill Morris and Tony Young say the party as a minimum “must clearly and unambiguously” set out to remain part of the European economic area.
They add that “if we want to build a modern, low-carbon economy that protects workers and tackles tax avoidance, we will only achieve it through collaboration and frictionless trade with our nearest neighbours.”
They say this is “the only way” of keeping existing benefits.
Although they regard Mr Corbyn’s expected commitment on Monday as a “step forward”, they say this falls “way short” of where Labour should be on Brexit.
The group adds: “We can only properly fund services, schools, hospitals, social care and international development if our businesses thrive and our economy grows.”
The Labour leader has previously said membership of the single market is dependent on EU membership.
He came under pressure in the summer and committed to a policy of staying in the single market and the customs union for a “transitional” period.
Mr Corbyn said some form of customs union would need to be in place after Brexit but suggested existing arrangements needed improvements.
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