The Virgin tycoon is busy assembling a list of investors before making the Government an offer for the bailed-out bank.

His chances of securing the prize through his Virgin Money arm were given a major boost with news that Beijing is ready to stump up funds.

The China Investment Corporation, which has a £130billion war chest, is in talks with Virgin Money about helping to bankroll any proposed bid.

If it comes off the Chinese government will secure a major foothold in Britain's banking sector for the first time - heralding a big shake-up of the high street market.

Virgin Money and Sir Richard were unavailable for comment last night.