Ellie Goulding has dismissed reports that she is dating Ed Sheeran after being pictured holding hands with the singer-songwriter.

The British pair attended the MTV VMAs in Brooklyn last night (August 25) but they turned heads somewhat by getting close whilst in their seats.

Goulding and Sheeran were seen holding hands and touching each other's legs.

However, the 'Burn' star quickly took to Twitter to state that they are merely friends. She said:

"Amazing night of performances with good friends. Representing GB. Love you all!"

Goulding added: "I love that holding hands with my friends means we're an item. In that case I am in many relationships. Lover not a hater. #whatthef*ck."