Around 300 Occupy London Stock Exchange campers have held St Paul's Square for a fortnight after police barred them from private land directly outside the exchange, but today the cathedral and the City of London each confirmed they were seeking an eviction order to break up the protest.

City of London Corporation said in a statement that it believed it could clear the 200-tent camp as it was obstructing a public highway.

"Protest is an essential right in a democracy, but camping on the highway is not and we believe we will have a strong highways case because an encampment on a busy thoroughfare clearly impacts the rights of others."

Meanwhile the cathedral - which announced its reopening on Thursday after protesters made changes to the camp over health and safety concerns - said in a statement that legal action had "regrettably become necessary."

The statements followed tense scenes at the council's meeting in the City of London's Guildhall, where councillors immediately voted 12-4 to eject all press and members of the public before even discussing the eviction.

More than 30 protesters sat quietly as the resolution passed, then protester Ronan McNern broke the silence. "We're peaceful protesters, we have a just cause and we have a right to be able to demonstrate," he said to applause.

Occupy London Stock Exchange had not issued a response when the Morning Star went to print, but it is understood that lawyers for the occupation will invoke a "lawful excuse for the camp's existence under the European Convention of Human Rights."

The camp has also accepted an offer from human rights monitors Liberty to mediate talks with councillors and clergy.

Liberty director Sami Chakrabati said she found it hard to believe the council could not resolve the stalemate without expensive litigation and a violent eviction.

The protesters' decision to accept mediation was extremely heartening, she added.

"The rights to peaceful dissent and freedom of worship are cornerstones of British democracy that Liberty has stood for since 1934.

"We all have a duty in these difficult times to preserve our capital's reputation as a free and open city where people generally live and let live in peace and mutual respect."