Hundreds of protestors have taken to the streets of the City of London in a demonstration entitled a "Carnival Against Capitalism".

City workers were warned to expect animal rights and environmental campaigners to target their institutions, and many were advised to wear casual clothing to work so as they would not be singled out.

The protestors have gathered in and around Liverpool Street station, and intend to stay there for up to 24-hours. They are demonstrating against what they call "morally and politically incorrect companies".

The Lloyds Bank at Cheapside was occupied by eight campaigners, and some chained themselves inside. They have said they will not leave until they are taken out with force. They oppose the bank's policy towards debtors in the Third World.

A Lloyds spokesman said: "There is a peaceful demonstration going on at the Cheapside branch. We are not going to have them forcibly removed but will keep a watching eye on developments."

Other protestors were on bicycles, calling for the Government to implement bicycle lanes on every road in the capital.

Many protestors have said that they had to act and state their views because they were fed up with waiting for the Government to institute "green" policies.

Other potential targets were braced for action and staff at Lloyd's of London were advised not to wear best clothes in case protests became messy.

The company's spokeswoman Sarah Pelling said: "We will be limiting the number of entrances we have open so it will be easier for security to check who is entering the building."

"We will also be heightening our security numbers and we recommend staff do not wear their Armani suits."

Rachel Harford, spokeswoman for the Campaign Against Arms Trade, tried to get the demonstrators message across, "we hope to let banks and investors know that their dealings with the arms exporters have not been ignored".

"High Street banks provide the lifeblood for the arms export industry and, as such, they share some of the responsibility for a trade which causes suffering world-wide."