Britain can quit the European Union with controls on immigration and the beginnings of a new trade deal within two years by following a “Brexit blueprint” handed to Theresa May by former Conservative ministers this weekend.

The plan proposes a work permit system for new EU migrants to Britain and a single “repeal bill” which would be passed by Parliament to convert all EU law into British law to “minimise disruption”.

Britain should also enter into a “take it or leave it approach to trade talks with the EU” by continuing free trade within the EU with no freedom of movement, or using World Trade Organisation tariffs.

The report was compiled by Conservative grandees including Iain Duncan Smith, Sir William Cash, Peter Lilley and John Redwood and is now being circulated in Whitehall.

It was drawn up at a meeting at an Oxford college attended by unnamed civil servants and ministers from Government departments which are in charge of Britain’s Brexit talks.

The plans say that Britain could complete its withdrawal from the EU well within the two-year time limit laid down by Article 50 of the Lisbon Treaty.

Negotiations over a future trade deal with Brussels could be “short and simple”.