The loan, which would run from February to June next year, is subject to Luton Borough Council being satisfied with the terms and conditions of the arrangement, according to a report drawn up for the council’s executive committee.
The jug is a rare example of metalwork that can be associated with royalty from the 1400s.
Its estimated value is between £750,000 and £1m because of its age and rarity, the craftsmanship and its inscription of “My Lord Wenlok”, according to the Local Democracy Reporting Service.
There are two similar jugs in the UK. One is the Asante Ewer, which is already at the British Museum, and the other is the Robinson Jug at the Victoria and Albert Museum, which was found in a manor house in Norfolk.