Government backs Rolls-Royce over bid for first foreign boss

The engine and aerospace giant secured a change to strict rules designed to prevent a foreign takeover of the firm to protect defence interests, according to The Sunday Times.

It will now ask shareholders at its annual meeting this week to back the move, enabling the group to appoint a foreign top boss – which comes ahead of the departure of chairman Sir Simon Robertson by the end of next year.

But the new agreement secured with the Government will reportedly mean that one of the two top roles will still have to be held by a British national. It is thought the Derby-based group has been in talks over the rule relaxation for a number of years.

BAE Systems is subject to the same rules, on the grounds of national security as both firms play a role in developing secret military technology. Rolls was not immediately available for comment.