Marcus Dolman, vice president for customer finance at Rolls-Royce, said a Brexit deal was in the “best interest of the UK and the EU”.
Speaking on the Today programme on BBC Radio 4, Mr Dolman, also the co-chairman of the British Exporters Association, said the European Union needed a deal.
The Rolls Royce boss, who said a ‘no deal’ situation would be the “worst case all round”, added businesses should prepare for all scenarios after Brexit.
Presenter Nick Robinson said: “No flights or big queues at customs, say at Dover, do you regard those as essentially very unlikely scare stories or something you really, seriously as businesses now have to prepare at least for the possibility of?”
We have to remember here that a deal is in the best interest of the UK and the EU
Mr Dolman replied we should prepare for all possibilities but a no deal was “unlikely”.
He said: “I think it’s prudent for businesses to prepare for these eventualities but I do believe they are an unlikely scenario.
“I think we have to remember here that a deal is in the best interest of the UK and the EU, it’s not just the UK that is looking towards a deal.
“It’s for EU businesses as well.”
Downing Street is “furious” about Philip Hammond’s “naive” handling of Brexit and recent comments that he was not going to spend money on a “no-deal”, BBC Newsnight revealed on Wednesday.
There is anger in number 10 at the “obtuse approach” of the Chancellor to leaving the EU, according to BBC political editor Nick Watt.
It stems from an article which Mr Hammond wrote in The Times which prompted the paper to run an analysis with a front-page headline saying, “Hammond refuses to budget for hard-Brexit”.
Speaking on Newsnight, Nick Watt said: “There is immense irritation in number 10 over what is being described as the ‘obtuse’ approach of Philip Hammond to politics.
“There was not an actual problem with his article because that was approved - which he said he would spend the money but will only spend it when it is necessary.
“But there was an annoyance in Downing Street over how he handled his relations with The Times, which quite rightly and justifiably wrote a rather dramatic story on their front page.”