Labour deputy leader Tom Watson has reportedly stormed out of a shadow cabinet meeting after UK Labour and opposition leader Jeremy Corbyn kept a copy of his draft policy on holding a second Brexit referendum a secret.
Backbencher Jess Phillips said: "I think people who voted Remain and voted Labour will not vote Labour again".
Their concerns come amid fears the Conservatives face heavy losses in the local elections on Thursday as voters vent their fury at the Government's failure to leave the European Union, as promised, on March 29.
The survey, which took place between April 30 and May 1, revealed an astonishing 94 percent of voters (6,692 people) answered "yes" when asked whether Mrs May should walk away from the Brexit negotiations with the Labour leader.
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Many Labour members wanted the party to make its agreement to any deal conditional on it being put to a public vote - what Labour calls a "confirmatory ballot".
Mr Hunt told BBC Radio 4's Today programme: "If we were proposing, which I very much hope we don't, to sign up to the customs union, then I think there is a risk that you would lose more Conservative MPs than you would gain Labour MPs".
On the surface it doesn't look like Labour's position has changed - but it has a little bit. What they have ended up with instead is a compromise or a fudge.
Some pro-referendum MPs aren't too disappointed because they believe the Conservatives won't move far enough and that leaves the door open to a referendum in the end anyway.
That's the bargain he's offering.
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But shadow global trade secretary Barry Gardiner said it would be a change in Labour's policy, which is to "try to deliver on what people voted for" in the 2016 referendum.
Mr Etheridge said the party planned to target traditional Labour areas in the run up to the poll, in a bid to attract voters unhappy at Labour MPs' widespread support for a second referendum.
The party is deeply split over the issue.
Her comments came after Mrs May's de facto deputy David Lidington told the Cabinet on Tuesday that the latest round of discussions had been "serious and constructive".
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