CME Group, the world’s largest futures exchange operator, will today unveil plans for a European derivatives market in a move that will pitch it into battle with Liffeand Eurex, the continent’s biggest derivatives trading bourses.

The group, which dominates US futures trading via the Chicago Mercantile Exchange, will file an application with UK regulators for a London-based bourse that would operate with its own management team, according to a person familiar with the situation. CME declined to comment.

CME’s decision to launch an exchange in London will strengthen the city’s role as a financial centre. Rivals NYSE Euronext, via its Liffe derivatives unit, Intercontinental-Exchange(ICE), and Nasdaq OMXhave all made the UK capital the headquarters for their European derivatives businesses. Frankfurt-based Eurex is owned by Deutsche B?rse.