British Energy’s ageing nuclear reactors have a reputation for breaking down at inopportune moments so it seemed fitting that an auction for the company entered its final stages today amid a haze of uncertainty.

So far it appears only one group, EDF of France, submitted a firm bid ahead of a midday deadline today although nobody expects Rothschild, the investment bank handling the sale, to turn away any latecomers.

Shareholders hoping for a fat premium are likely to be disappointed as any bids are likely to come in at the lower end of expectations. It is possible that the offer could be so poor that the auction drags on for some time.

But in all likelihood, over the next few months British Energy is somehow likely to be carved up between a variety of players with an interest in nuclear new-build.

If EDF’s bid is succesful, it is likely that some of the sites may be passed on at a later stage to another company, possibly Centrica, which is eager to increase its power generation.

It is also possible that the Government may make it a condition of the sale of its 35 per cent stake that BE disposes of one or more sites to ensure there is adequate competition in the industry.

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