The Home Office has rejected press reports that a new form of mini-passport will be used to introduce compulsory national identity cards by stealth.

The reports followed the confirmation that the Passport Agency is currently in the "early stages" of designing a new credit card-sized mini-passport.

It hopes to release new photocard passport by 2002.

A home office spokeswoman told BBC News Online: "The photocard passport has been ruled out as a means of compulsory ID.

"The new photocard passports will not be compulsory, just like the standard ones."

But the government is said to be keeping "an open mind" on the future introduction of voluntary ID cards.

The mini-passports will enable people to "swipe" their way through customs" and will be introduced simply for "traveller convenience", says the home office.

The card will contain the same information as the current passport, which it will not replace, and can not be used to hold information on health care or social security benefits.

National ID cards have been rejected by the government as "inappropriate," the spokeswoman added.

Former Tory Home Secretary Michael Howard faced fierce opposition from civil liberty groups when he proposed national identity cards during the last Conservative administration.