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Dannii Minogue is "highly likely" to quit The X Factor at the end of the current series, according to a report in The Mirror today.

Citing a reliable show source, the newspaper claims that Minogue has decided to leave the show in order to move back to Australia and start a family with her boyfriend, rugby player Kris Smith.

"Although it hasn't been officially confirmed, it is highly likely Dannii won't be on the panel next year and Simon is already thinking about a replacement," said the insider.

The leading candidate is thought to be Mel B, who has been linked to the show on numerous occasions in the past.

"He thinks Mel could be brilliant as she is outspoken, down-to-earth and won't be afraid to hold back," the source added. "There were times during the current series that he felt things were a bit boring and he is certain sparks will fly with her on board. It will also be interesting to see whether she and Cheryl Cole will gel with each other - or whether it will be handbags at dawn. He thinks it could make compulsive viewing. Louis Walsh is also a huge champion of hers and has been campaigning to get her on the show."

Destiny's Child singer Kelly Rowland is also rumoured to be in the running for the position.