No.10 is preparing for Scotland to demand a fresh independence referendum – which could cause a constitutional crisis as Brexit approaches

THERESA May is preparing for Nicola Sturgeon to call for a fresh referendum on Scottish independence after the PM triggers Article 50 next month.

Government sources say they are preparing for the Scottish First Minister to use the start of the Brexit process to push ministers

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that Whitehall is making contingency plans for the event - because they fear that another vote could rip the union apart.

If Mrs May rejects the calls for another vote - it could cause a constitutional crisis.

The impact of Brexit on devolution was said to be a major concern for the Government.

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The pound tumbled at the news in early trading in Asia - down 0.5 per cent against the dollar.

This morning a No 10 spokesperson said the threat of another referendum was causing "unnecessary uncertainty and division."

They went on: "The question is not whether there could be a second referendum, it is whether there should be one - and the clear answer to that is no."

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Mrs May has repeatedly insisted that the people of Scotland have had their say on independence, and there is no need for another vote.

Scots rejected becoming an independent country in 2014 by a 10-point margin, and polls have not suggested that the people have changed their minds.

But Ms Sturgeon has said that the chances of another one are "increasingly likely" after the PM confirmed she would take Britain out of the Single Market when we leave the EU.

She put forward some "compromise proposals" but has repeatedly said that she is "not bluffing" about the possibility of another vote if her demands aren't met.

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If Mrs May were to block one, there could be uproar among the SNP in Scotland.

That could drive UP support for the country to break away from the UK.

A senior government source said that the danger of a “devolution crisis” was preoccupying Whitehall. “It is possible that we will have to face Nicola Sturgeon calling a second referendum, have to bring in direct rule in Northern Ireland and trigger Article 50 all at the same time,” the source told The Times.

Elections in Northern Ireland will take place this Thursday after the collapse of the Stormont Assembly - but there is no guarantee that the two parties which are expected to elect the largest numbers will be able to form a pact in order to govern again.

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Mrs May urged voters north of the border to use the upcoming local government elections to send a "clear message" to the First Minister that they don't want another vote.

And yesterday during the Scottish Labour conference in Perth, Jeremy Corbyn said there was "no appetite" for another vote, and he urged the SNP to "listen to the people and respect democracy".

63% of Scots voted to Remain in the EU during last year's referendum.

A UK Government spokesperson today said: "This is not a plan under consideration."