The proposed coffee cup and currant bun alliance between Campbell Bewley and the Kylemore bakery this week ran aground on the sticky matter of dough - apparently not enough of it to help the yeast rise on a successful deal. Talks between the two, which have been going on for the past two months, were said to have been at an advanced stage with goodwill on both sides. However, Bewley's have ended the discussions as terms suitable to both parties could not ultimately be agreed. The family-owned Kylemore has been a long time in business.

Founded in 1920, it has nine cafes, 30 bakeries and turned over £22 million last year. Bewley's, a fixture of Dublin's cafe society for over 100 years, is expanding rapidly, particularly in the US, with the launch of "Bewley's of Dublin" tea-rooms in major US cities planned for later this year.