British aero-engine maker Rolls-Royce said it is continuing with contingency plans as uncertainty grows over whether Prime Minister Theresa May’s Brexit plan will receive parliamentary backing. “This agreement is only a draft,” CEO Warren East told BBC radio on Friday, joining a line of industry captains urging politicians to be pragmatic and not torpedo an agreement that would allow UK-EU trade to keep flowing. “We are going to continue with our contingency plans and that includes buffer stocks so that we have all the logistical capacity that we need to carry on running our business.” Manufacturers like Rolls-Royce fear new customs duties and red tape could threaten the just-in-time delivery of thousands of parts on which they depend if Britain crashes out of the EU on March 29 2019. May’s office has released statements from a number of major companies such as Diageo, the London Stock Exchange and Royal Mail in support of her deal. The British pound clawed back losses as May clung ...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, ProfileData financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now