British Airways (BA) has set its sights on further global consolidations with plans of another airline alliance close on the heels of its merger with Spanish Iberia.

"Our ambition is truly global…we want to be in a position to avail ourselves of opportunities if they present themselves in the first year [of the BA/Iberia merger]," BA chief executive Willie Walsh told industry executives at the London Aviation Club.

BA and Iberia will emerge from their partnership as International Airlines (IACG), an umbrella company structured such that new acquisitions can be made, reported the Australian.

"We have created an entity capable of being scaled up," Mr Walsh said.
  
Mr Walsh's readiness to accelerate industry consolidation has led to much speculation over which airline is next in sight for Britain's national carrier, with Australia's Qantas the leading contender, said the newspaper.

Alternatively, to strengthen its position in Europe, the newspaper suggested BA's likely targets could include Portugal's TAP, Poland's LOT or Finnair, while the growing Asian market could spell an agreement with Cathay Pacific.

In his speech, Mr Walsh made clear that BA had to expand beyond Britain to survive.

"We can compete effectively for the next ten years," he said.

"But in 20 years the UK is going to be in a difficult position because we do not have the necessary infrastructure to compete.