The FTSE 100 index tumbled 2.1% and was set for its biggest intraday percentage decline since late September, with aero, travel and leisure, energy and insurance stocks leading declines.
The FTSE 100 index fell 0.6pc, with travel and leisure stocks being the biggest drags on the index due to fresh measures on movement and social gathering.
The mining group slipped 4pc as it also booked a $3.2 billion impairment charge, driving the FTSE 100 down 1.2pc after three straight sessions of gains.
Expectations are now running high for the Bank of England (BoE) to announce an increase of at least 100 billion pounds ($125 billion) in its bond-buying programme to further boost liquidity.
The Fed said it would start purchasing corporate bonds on Tuesday through the secondary market corporate credit facility (SMCCF) to beef up liquidity in the market.
The FTSE 100 was down 2.2pc at a three-week low, with BP Plc sliding 4.9pc to the bottom of the commodity-heavy index after saying it would write off up to $17.5 billion in the value of its assets.
Total cases of the novel coronavirus in the United States surpassed 2 million on Wednesday, according to a Reuters tally, amid a gradual resumption of activities in most states.
The blue-chip FTSE 100 was up 0.7pc as a report said finance minister Rishi Sunak was considering national insurance holidays for companies as part of a stimulus package to be announced in July.
The UK travel index rose 1.6pc as a report said the go
