THE Royal Bank of Scotland could leave its historic headquarters in Edinburgh to make the building available for redevelopment.

Documents, reportedly lodged with the city council by the consultancy GVA Grimley, indicate RBS is considering leaving St Andrew Square in Edinburgh, meaning the building would be free to be turned into shops, flats or a hotel.

Consultants acting on behalf of the bank have been quoted as saying they would welcome the opportunity for talks with the council about the site, on the east side of the square near the Harvey Nichols store.

The St James Centre nearby is about to be redeveloped.

The documents said to have been lodged with the council state: "Given the above, RBS recognises that the site could provide an opportunity for new mixed uses at St Andrew Square and an opportunity to link to the new quarter redevelopment to the east."

However, RBS said it has no current plans to leave St Andrew Square. The site has been the bank's registered head office since 1828 although though most of the functions of a head office were transferred to the bank's new headquarters in Gogarburn in 2005.

The sale of the headquarters would raise money for the bank at a time when it has been trying to reduce costs after being bailed out by the Government in 2008.