The board of the French energy giant EDF is widely expected to meet this week to finalise a multi-billion pound bid for British Energy.

Over recent days shares in the UK operator have declined in value as investors have come to believe that the anticipated bidding war, which led to a number of companies pulling out of the race to acquire it, is unlikely to occur.

This has led EDF to become the firm favourite to takeover British Energy and, while it is currently valued at £11 billion, the board are thought to be considering tabling a bid of between £9 billion and £10 billion.

According to a source cited by the Daily Telegraph, EDF may bring Centrica on board after the owners of British Gas expressed an interest in forming part of a bidding consortium

One financial advisor also told the newspaper, however: "EDF is looking at bidding on its own, or not bidding at all.

"I'm sure Centrica will be discussed, but if it has a role to play it will be at a later stage."

Should the deal go ahead, EDF will acquire the UK government's 35 per cent stake in British Energy.