Channel estimation is performed by user equipment operating in a mobile communications system. Estimation involves receiving a signal and analyzing it to detect a signal component from a neighboring cell. Depending on outcome, one or both of the following are determined: whether a power level of the signal component from the neighboring cell exceeds a power threshold level; and whether a difference between timing parameters of the neighboring cell?s signal component and that from a serving cell is less than a timing threshold level. If the power level of the neighboring cell?s signal component exceeds the power threshold level and the difference between the timing parameters of the signal components from the neighboring cell and that of the serving cell is less than the timing threshold level, then a joint channel estimation process is performed. Otherwise, a single channel estimation process is performed.