The cost of clearing UK equities traded on the London Stock Exchange is set to plummet after SIS, the Swiss clearer, stated its intention to engage LCH.Clearnet in a price war.

LCH.Clearnet had enjoyed exclusive rights to clear LSE-listed equities until the announcement by the exchange last week that members could also use the Swiss clearing house. Statements yesterday by SIS chiefs makes clear its plan to take the fight to LCH.Clearnet and use price as its principal weapon.