Shadow Chancellor John McDonnell said a letter to Theresa May by senior Tories including Boris Johnson had jeopardised cross-party Brexit talks.
Senior Labour Party figures say Brexit talks with the government are still a long way finding an agreement.
Speaking at an event hosted by the Wall Street Journal on Tuesday, Labour's Shadow Chancellor McDonnell said that the government was"nowhere near" to accepting Labour's demand of a permanent customs union with the European Union. She suggested that Labour could soon walk out of talks if the government did not shift its red lines.
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