Fresh proposals allowing young people to move between the UK and the European Union are expected to be presented to the British government within weeks. This move marks a significant early test of Labour’s effort to “reset” relations with Brussels.

According to sources, a revised version of the plan, first introduced by Ursula von der Leyen in April, has been discussed among EU member states and is slated to be reviewed by a working group in Brussels next week. If approved, member states will then direct the European Commission to present a formal offer to the UK government.

One potential adjustment in the proposals is the removal of a four-year student exchange program. Under the original plan, students would have been required to pay home fees at the universities they attended.

UK institutions have voiced concerns, indicating that this option would be unviable due to financial constraints. British universities, which rely heavily on higher fees from international students, have made it clear that they cannot afford the financial hit of this change.

The previous Conservative government had already rejected a similar proposal earlier this year. However, EU officials are optimistic that the new Labour-led government may take a more open approach. There is a concern, though, that another rejection could jeopardize the UK’s chances of securing broader agreements on defense and agriculture.

Diplomatic sources express frustration that Labour leader Keir Starmer has not yet reversed the UK’s stance on the youth mobility scheme. Some argue that more complex negotiations on trade and defense cannot proceed without first settling this issue. “It’s pointless to open up defense or trade talks without sorting this out first,” said a European diplomat.

Critics also point out that the UK has yet to make any formal proposals to Brussels on what it would like to see in a potential security or agricultural deal. Starmer’s government is also being criticized for ruling out significant policy shifts, such as rejoining the EU customs union.

As one diplomat put it, “The red lines are almost like Theresa May’s; it’s difficult to see what has changed.”

EU Less Concerned About UK Leverage

Some experts believe the UK will face significant challenges in securing major agreements with the EU due to its diminished leverage. “The key to understanding the EU-UK relationship is that we are much less concerned with the UK than the UK is with us,” remarked another diplomat, referencing the 2023 Windsor Framework on trade arrangements in Northern Ireland.

“There is room for improvement in relations,” the diplomat added, “but the biggest issue has been resolved, and the UK simply isn’t a priority right now. If Keir Starmer wants to talk, don’t expect us to drop everything.”

The Cabinet Office, which is overseeing negotiations with the EU, declined to comment. Last month, however, a government spokesperson reiterated the UK’s position, stating: “We are not considering an EU-wide youth mobility scheme, and there will be no return to freedom of movement.”

Since taking office, Starmer has committed to forging a closer trading relationship with the EU and has prioritized a defense and security pact. Officials believe that a security agreement could be reached relatively quickly, while a deal on agricultural products might take longer to materialize.

Starmer has already made diplomatic visits to key EU figures, including German Chancellor Olaf Scholz and French President Emmanuel Macron. He also recently hosted 50 European leaders at a political summit in Oxfordshire.

EU sources are keen to stress that the scheme would not constitute a return to free movement, as the visas would only be valid for a limited period.

Some member states suggest that reducing the visa length from four years to two, in line with similar agreements with Canada and Australia, could help resolve the dispute and move negotiations forward.