Bank of America’s aim to sell its Chester-based credit card business remains on track despite reports the process is floundering.

The group put MBNA, which employs 3,000 people at Chester Business Park, up for sale in August but a national newspaper report claims an alternative break-up plan is now being actively considered.

According to the report, Bank of America believes initial expressions of interest from Barclays, Virgin Money, Santander and US rival Capital One have fallen short of its expectations.

The possibility of a deal with Virgin Money was first reported in LDP Business in August. MBNA has a 50-50 joint venture with Virgin which represents around 35% of its balance sheet.

However, LDP Business understands that the sale process is still very much alive and that it is far too early to consider alternative plans.

Earlier this week, MBNA announced it was cutting 400 jobs at Chester in an efficiency drive. It added it hoped these would be achieved on a voluntary basis.

A spokesman for MBNA said the company did not comment on market speculation.