The Chairman of CityJet says the Government's rejection of IAG's current offer for Aer Lingus is "gombeen politics at its worst".

The Transport Minister yesterday said the bid as it stands doesn't meet the State's interests - and it's now up to IAG to extend its five-year guarantee on the Heathrow landing slots.

Meanwhile, a group of Labour members opposed to the proposed bid will discuss tabling a motion at the party's conference calling on the coalition to rule out selling the airline.

CityJet Chairman Pat Byrne says the Government's handling of the crisis has been "reckless".