Switzerland’s biggest bank, UBS, is in advanced talks to buy all or part of its troubled rival Credit Suisse.

Credit Suisse, the second largest Swiss bank, is facing a crisis of confidence and its shares have fallen sharply in recent days, sending ripples of concern through the markets.

According to the Financial Times UBS is offering to pay up to $1bn (£820m) for Credit Suisse.

Regulators are trying to facilitate a deal before markets reopen on Monday.

The trouble at Credit Suisse, combined with the failure of two smaller US banks during the last two weeks, have thrown the health of the global financial system into doubt.

Credit Suisse is one of around 30 banks worldwide deemed too big to fail because they are of such importance to the banking system.