The Japanese automaker Honda will announce the closure of its Swindon facility in 2022, threatening 3,500 jobs.
The Japanese automaker wants The factory closed in 2022, but the European headquarters in Bracknell, Berkshire, remains intact.
According to sources, Honda will announce the company's future on Tuesday morning.
Honda refused to comment on Sky's first reported claims. The government also declined to comment.
Honda produces more than 1
Fear of Brexit
According to Sky, Honda is likely to relocate the factory to its home market of Japan.
The Brexit is a factor in the decision, with the car maker concerned about the introduction of new tariffs after the UK's exit from the EU.
Rival Japanese automaker Nissan also cited Brexit as a reason for canceling plans to build the X-Trail SUV earlier this month in Sunderland.
Ford and Jaguar Land Rover also express concern about the risk of a no-deal Brexit.
Last month, Honda announced it would shut down the factory for six days in April to prepare for any disruption caused by Brexit "any potential results from logistics and boundary issues."
The company said it would help restore lost production if parts shipments were stopped at the borders.
Last year, Honda Europe's vice president warned that if the UK leaves the EU without a deal, it would cost his company tens of millions of pounds.
Ian Howells told the BBC that leaving the block without an agreement would compromise the car manufacturer's competitiveness in Europe.
The Japanese company wa s is preparing for a no-deal result, but had not talked about relocating its plant in Swindon.
A Honda Swindon Story
Honda UK is located on a former airfield that spans 370 hectares northeast of Swindon.
The automaker purchased the site in 1985 and established Honda of the UK Manufacturing to verify the pre-delivery of vehicles.
In 1989, the operation was extended to the production of engines. Three years later, a car factory was added to produce the Honda Accord.
Since then, Jazz, CR-V, Civic and Type R have been produced at the sites.
In 2001, a second Honda automobile plant was opened in Swindon, increasing production capacity to 250,000 a year.
Are you employed at the Honda car factory in Swindon? Tell us about your experience by sending an email to
. Please provide a telephone number if you would like to speak with a BBC journalist. You can also contact us in the following ways:
- WhatsApp: +44 7555 173285
- Tweet: @BBC_HaveYourSay
- SMS or MMS to 61124 or + 44 7624 800 100