BMW chief executive Helmut Panke has scotched rumours that the prestige carmaker is to build new Mini derivatives on a joint platform with PSA/Peugeot-Citroen.

Rumours began when the opportunities for BMW to benefit from Peugeot's low cost small car production expertise were put forward on Monday by Goldman Sachs.

The Goldman Sachs memo goes on: “The two companies have already announced an engine joint venture, but supplier sources tell us BMW is looking at building new Mini derivatives on a joint platform with Peugeot.”

In an interview published in Automobilewoche on Monday, Mr Panke played down any deeper Peugeot tie-up.

The Oxford-built Mini is a key factor in boosted BMW sales this year, and the company now plans to sell 140,000 of the sporty hatchbacks by the end of the year.

• BMW is reportedly planning to shift production of the engine for the Mini to the UK. According to Monday's Independent newspaper, the move would be in response to the success of the model and the high level of UK demand.