Jeremy Corbyn is ignoring the views of millions of his party's supporters by backing Britain to stay in the European Union, the party's Brexit wing Labour GO (Grassroots Out) has told IBTimes UK.
In his first major intervention in the campaign, the Labour leader outlined his case on Thursday (14 April) for staying in, saying the EU would protect British jobs, environmental standards and consumer safeguards.
But Labour GO head of strategy Nigel Griffiths said that Corbyn, who was Eurosceptic in the past, had decided that following his true feelings on EU membership was "one battle too many".
Griffiths said: "I see how our party and indeed a lot of the Tories are out of touch with normal people. Normal voters range from being highly sceptical to having had enough. It is appalling that the Labour Party officially is reflecting none of that.
"I am sure we would have had a dozen more seats (after May 2015's general election) if we had said we would have a referendum because it would have cut the ground from under Ukip. What Ukip did was suck away liberal votes. They didn't win them, but they allowed the Conservatives to storm through."
Labour GO was founded by Vauxhall MP Kate Hoey and will be campaigning up to the referendum on 23 June on a message of how EU restrictions will make it impossible for a Labour government in 2020 to implement its programme for reform.
Griffiths, a former MP for Edinburgh South and a former deputy leader of the House of Commons, said: "We have got to reconnect with the electorate which is an admission that we have got it wrong. If we want to reconnect we should be appealing to the millions of Labour voters who want out of the EU."
It comes as a poll shows that Corbyn is more trusted than David Cameron on the referendum, with YouGov putting the final outcome neck and neck, with 39% supporting In and 39% backing Out.
Griffiths group faces an uphill struggle, especially as the public sector union Unison has joined the two other biggest unions, including Unite, in support of Britain remaining in the EU. However Griffiths insists that in the country, many Labour voters do back Brexit.
"On the doorstep we are getting people saying: 'Thank goodness you are reflecting our point of view,'" he told IBTimes UK.