The radical suggestions to curb migration, which include a maximum two-year stay for low-skilled workers, sparked a backlash from business leaders and Brussels.
Now both Ms Rudd and Mr Green have also indicated that Ms May’s plans do not have their full support, according to The Telegraph.
Mr Green hinted the Government could U-turn on the proposals as he was concerned about the effect it would have on the Brexit negations.
Ms Rudd, whose department drew up the plans, may favour lighter regulations that make it easier for businesses to hire workers from the EU.
The Government has insisted the leaked proposals are just a draft and amendments are likely to be made.
The news comes as it emerged that the Government had asked FTSE 100 companies to sign a public letter endorsing its Brexit strategy.
“We believe this is a good time for employers to work with government and parliament to make a success of Brexit and secure a bright future for our country,” said the letter, circulated to the companies.
Some of the business leaders disclosed they had refused the request, causing more havoc for Ms May’s plans.
A spokesman for the Prime Minister declined to comment but said there had been lots of engagement with companies over Brexit.
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