City firms will spend £3m to protect staff during G20

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Thousands of additional guards are being drafted in by firms in the Square Mile on top of the 3,000 police officers who will be on duty.

The Bank of England, Royal Bank of Scotland and investment banks UBS and Deutsche Bank are among those taking precautions, some doubling their usual security, amid fears that anti-capitalist groups could hijack planned protests.

City staff have been told not to wear suits and ties, to carry ID passes at all times and to postpone non-essential meetings on 1 and 2April when 20 world leaders, including Barack Obama, attend the summit in Docklands.

Staff could face hostile crowds and radical groups who have hung effigies of bankers and warned that police will "lose the City of London" on what has been dubbed "Financial Fools Day". A security source said: "The banks and multinationals will not want to take any risks given the atmosphere."

G4S, formerly Group 4 Securicor, will be among the main beneficiaries of the extra security operation. The firm provides services to 50 of the FTSE 100 companies, but it refused to comment on its work during the G20 summit.