The Website - codenamed Project Quicksilver - had been under development since August, reports claimed. The site was intended to be an information and e-commerce site offering news on subjects including shopping and travel.
BA blamed the decision on delays to the launch of the site, which was being developed by Affinity Internet. Affinity Internet pulled out of the project last week.
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BA is reported to have invested £6m in the site, to be called Peeled, before shelving it. The airline had intended to market the site to members of its Executive Club Loyalty programme, who would have been rewarded for shopping and surfing on the site.