Labour is now the party of “soft Brexit” and could keep Britain in the European Single Market and Customs Union indefinitely, Tom Watson has admitted.

Mr Watson confirmed Labour is positioning itself as the party of “soft Brexit” in comments which are likely to spark concerns of a betrayal of Leave voters.

Sir Keir Starmer, the shadow Brexit secretary, recently set out Labour’s new blueprint for the UK’s withdrawal from the European Union which would see Britain keep existing trading arrangements and current market access during a lengthy transition period.

The UK would continue paying into the EU and accept continued free movement during that period, which could last for four to five years.