THE electric Mini will still be made in Oxford, BMW bosses have confirmed, despite its warnings over the impact of Brexit.

Quelling fears that the company is considering leaving the UK if it faces extra paperwork and costs on the border, its top Brit spoke to the Oxford Mail to reassure the 4,500 workers at the Cowley plant.

But Ian Robertson, BMW’s special representative, said customs arrangements need to be urgently resolved before production of the new car, which will use motors from Germany, begins in 2019 or costs will rise.

It comes as MPs warned the Government must provide businesses with clarity after Oxford’s first Brexit casualty, or the city could face a business exodus.

Oxford Science Park-based Ferrovial, the operator of Heathrow Airport, has announced plans to move to the Netherlands in order to remain within EU regulations.

Airbus, whose helicopter division is headquartered in Kidlington, has threatened to leave the UK in the event of a ‘no-deal’ Brexit and Unipart warned ‘busloads of jobs’ could disappear into Europe.

Oxford East MP Anneliese Dodds warned that unless the Government started listening to businesses more would follow.

She said: “All of these firms are very important local employers.

“They are not voicing their concerns about Brexit to make a political point, but because continuing uncertainty about customs and other arrangements after Brexit poses huge problems for their business models.”

She added: “I really hope the Government now starts listening to business about the damage that will be caused by an abrupt and chaotic Brexit – before more firms follow Ferrovial’s example and vote with their feet.”

Oxfordshire Local Enterprise Partnership chief executive Nigel Tipple attempted to reassure businesses and said new economic opportunities, especially in the ‘Oxford to Cambridge corridor’ plans, were around the corner.

He said: “As we approach the UK’s withdrawal from the European Union, our message to the Oxfordshire business community continues to be one of reassurance. Of course businesses are concerned as to what Brexit terms will be negotiated in the coming weeks and months, but our county’s economy remains one of the most agile in the UK.”

Mr Robertson was speaking after BMW customs manager Stephan Freismuth hinted the Cowley Mini plant could close if car parts were caught up in border delays.

He said those comments had been taken out of context but it has also been revealed that a plant in the Netherlands has been quietly expanded over the past four years.

Mr Robertson stressed that BMW has made its key production decisions for the coming years and is well-prepared for any eventuality.

He said: “Our priority is to avoid unnecessary costs to our business but that is not a threat to the Oxford plant.

“Delays at customs and increased paperwork are things we would look to avoid: we are not prepared to see an increase in the price of a vehicle and we don’t think our customers are either.

“Our next set of decisions are a few years away. We will see how the politics has resolved itself then we will take the next steps but our commitment to the UK is very strong throughout our business.”