HSBC is engaged in talks to repurchase its UK headquarters for up to £300m less than it sold the property for last year.

The financial institution sold the London tower, based in Canary Wharf, to Spanish property company Metrovacesa in a £1.1bn sale-and-leaseback deal last summer.

The deal made the London tower Britain's most expensive property and the Spanish company have recently been forced to sell many of its assets at a loss as it seeks to restructure £7bn worth of debt.

The value of the building has now fallen to around £800m, and although Metrovacesa have confirmed a sale to HSBC is an possibility the company has insisted there are other options, including refinancing.