Retail Motor Industry Federation Bodyshop Services' officials have met representatives from the Association of Body Repairers, sparking speculation that the two companies could merge under the RMI umbrella.

Discussions took place on the Contracts Review Guide, the ABR's centralised purchasing programme and the RMI's proposed generic service level contract for work providers. The ABR, launched in March, was last month troubled by a stand-off between company secretary John Taylor and directors John Weir and David Turner. Mr Taylor is now believed to have left the association.

RMI Bodyshop Services director Bob Hood said: “ABR has made a significant impact on the industry and we want to share their ideas for the benefit of a wider audience. In return we believe we can provide a range of tried and tested services together with broad representation to insurers and Government.”

Mr Hood would like to see the ABR operate as a pressure group within the RMI to present a more unified front in the industry. He declined to comment over whether the move could be interpreted as a merger or takeover bid.