A European Central Bank policy requiring British companies managing trades in euros to relocate to the eurozone will be annulled, Europe’s second-highest court ruled Wednesday, marking a victory for the UK government which had argued such a move was against European law and would push business away from London’s financial centre.

The judgement, delivered by the Luxembourg-based General Court, marks the culmination of a three-year dispute between the UK and the European Central Bank on whether the latter has the right to require British companies handling large trades in euros be based in the eurozone.