The tree, first given in 1947 in gratitude to the people of London for Britain's support for occupied Norway in World War II, has come to symbolize the start of Christmas for many Londoners.
But in a policy discussion document on the three Christmas trees the city sends annually to London, Rotterdam and Reykjavik, Oslo's city secretariat included scrapping the tree as one of three options presented to politicians.
"The tradition of the Christmas tree gifts no longer has the same value as in the time after the war, and should be replaced with other forms of international promotion and cooperation," the report argued.
It estimated that scrapping the London tree could save the city as much as 128,000 Norwegian kroner ($21,000) in direct costs.
However Oslo's mayor Fabian Stang rejected the suggestion, in April telling the country's Aftenposten newspaper that the London tree was "a central part of Norway's history and a symbol of friendship with the British that we will do everything in our power to continue."
Stang has attended the cutting ceremony in Oslo regularly since becoming mayor in 2007, although he has never attended the lighting ceremony in London, with governing mayor Stian Berger Rosland going on his behalf since taking office as of September 2009.
Stang agreed with city bureaucrats that it would be more efficient if the two other trees, to Reykjavik and Rotterdam, were cut in forests close to the two cities rather than shipped all the way from Norway, sending out letters to this effect to the two city's respective mayors on April 7th.
It would also be possible to source a Christmas tree for London in the UK, but Stang is keen to continue cutting the London tree from the forests around Oslo, given the media coverage usually received by the Lord Mayor of Westminster when he attends the traditional cutting ceremony near Oslo in November.