Sir Keir Starmer is planning a law which will mean that the UK government can adopt EU single market rules, without a normal parliamentary vote.
The measure is part of a bill aiming to align the UK with new European regulations in areas such as food standards.
A Labour source told the BBC: "It will lower costs for businesses and get rid of the Brexit paperwork tax that adds to the cost of the weekly shop."
The plans provoked strong opposition from the Conservatives and Reform UK.
The EU single market is an agreement which enables goods, services and people to move freely between member states, with countries applying many common rules and standards.






