Housebuilder Persimmon is understood to be considering a rights issue to raise 拢1bn for a takeover of Taylor Woodrow.

If Persimmon goes ahead it may halt the proposed 拢5bn merger between Taylor Woodrow and George Wimpey.

It is understood that Persimmon has not yet decided whether to make a bid.

Persimmon is the UK鈥檚 largest housebuilder, but will lose this status when Barratt鈥檚 拢2.2bn acquisition of Wilson Bowden is completed. The proposed Taylor Wimpey would overtake both.

If the Taylor Wimpey deal goes ahead it will make 36-year-old Peter Redfern, the Wimpey boss, one of the youngest chief executives in the FTSE 100.