The £2bn sale of Somerfield could be dropped because of lack of interest in the supermarket chain.

The Co-op was the only retailer to table a full proposal for the business ahead of the 14 March deadline, according to The Times.

Asda is yet to make an offer, the paper added.

“They're a little bit uncertain about what Asda's intentions are,” a source close to Somerfield said. “If they don't get the price they want, they will hold on.”