Bank of Ireland has refused to comment on speculation in the UK naming the bank as a possible bidder for the mortgage lender and former building society, Bradford & Bingley.

The UK financial institution has been the subject of takeover speculation since it demutualised and floated on the London Stock Exchange in 2000.

Other Bradford suitors that have been mentioned include National Australia Bank, Royal Bank of Scotland, HSBC, Alliance & Leicester and Abbey National.

Bank of Ireland has previously tried to take over Alliance & Leicester and Abbey National, but recently declared that it was not interested in pursuing a large acquisition in the UK market.

In a report issued this week, UK stockbroker, Commerzbank, said that Bradford & Bingley was the most expensive of all British domestic banks.

"Investors who seek the thrill of owning a potential takeover candidate might be better off owning either Abbey National or Alliance & Leicester, both of which offer better value for money on a standalone basis," it said.