In the bluntest warning issued by British police, Scotland Yard has said that businesses in the city of London could face a Mumbai-style terror attack early next year.

"Mumbai is coming to London," said a senior detective from SO15, the Metropolitan police's counter-terrorism command. The detective said companies should anticipate a shooting and hostage-taking raid "involving a small number of gunmen with handguns and improvised explosive devices," 'The Sunday Times' reported.