Prime Minister Theresa May’s failure to win support for her preferred form of Brexit has stirred up tensions among London’s biggest financial institutions. US investment banks are vying for a style of divorce from the European trading bloc that has angered others in the City.

According to people familiar with the matter, senior executives from London’s largest financial institutions will meet this week to decide whether or not to come out in support of some form of membership of the European Economic Area, a satellite trading bloc to the EU, as the next best alternative to May’s rejected Brexit deal.