British Airways (BA) has refused to comment on reports that it is poised to make a bid for BMI.

According to The Sunday Times, talks have taken place between BA chairman Martin Broughton and Lufthansa, which owns BMI.

Virgin Atlantic, Etihad Airways and United Arab Emirates are also thought to be considering making an offer. Should BA decide to make a move on BMI it would be likely to encounter obstacles from competition authorities as such a deal would give it more than 50% of slots at Heathrow.