European anti-trust regulators are minded to clear the $5.5bn cash and shares bid by Carnival, US cruise group for its UK rival P&O Princess without asking for big disposals, reports the Financial Times.

The surprise move would be a victory for Carnival as the European Commission had been expected to block the deal or approve it only after asset sales.

It would be a blow for Royal Caribbean Cruises, which has proposed a rival £5.3bn merger for P&O and has lobbied the Brussels authorities to block the Carnival deal.

The FT says that according to Brussels insiders, the commission's failure to ask Carnival for disposals, with only four days before the deadline to present concessions, is also a sign of a shift in its stance.

The commission and the companies have so far declined to comment. Competition lawyers said a number of factors could prompt the competition department to change its mind.

Last month (June), UK regulators cleared Royal Caribbean's bid for P&O after concluding it was not anti-competitive.