In this Feb 24, 2020 photo, Tyson Fury punches Deontay Wilder during their Heavyweight bout for Wilder's WBC and Fury's lineal heavyweight title at MGM Grand Garden Arena in Las Vegas, Nevada. (AL BELLO / GETTY IMAGES NORTH AMERICA / AFP)

British world heavyweight champions Anthony Joshua and Tyson Fury have agreed financial terms for a two-fight deal, promoter Eddie Hearn said on Wednesday.

Tyson Fury overpowered Wilder in their Las Vegas rematch in February, claiming the WBC crown with a seventh round stoppage

The discussions over an undisputed world heavyweight title showdown between the two fighters began in early May and they have now agreed on initial terms for two encounters.

Joshua holds the WBA, IBF, WBO and IBO belts, while Fury is the reigning WBC champion.

“We’re making great progress,” Joshua’s promoter Hearn told Sky Sports News. “There is still a lot to overcome. We are looking at venues and dates.

“We have the Dillian Whyte mandatory which is due before this fight.

“It’s fair to say (Joshua and Fury) are in agreement regarding the financial terms of the fight.”

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In this Dec 8, 2019 photo, defending champion Andy Ruiz Jr, left, takes a right cross to the face during his fight against Britain's Anthony Joshua in their World Heavyweight Championship contest at the Diriyah Arena, Riyadh, Saudi Arabia. (HASSAN AMMAR / AP)

Joshua won back his WBA, IBF, WBO and IBO belts from Mexican-American Andy Ruiz Jr in Saudi Arabia last December.

His next fight was due to be against Bulgarian Kubrat Pulev on June 20 but it was put on hold due to the COVID-19 pandemic.

Fury has to face Whyte in a mandatory bout by February 2021, and is also contracted to face Deontay Wilder for a third time.

Fury overpowered Wilder in their Las Vegas rematch in February, claiming the WBC crown with a seventh round stoppage. They had previously fought to a draw in December 2018.

"I'm just got off the phone with (advisor) Daniel Kinahan. He's just informed me the biggest fight in British boxing history has been agreed," Fury said in a video posted on his Twitter account.

“The fight is on for next year but there is a hurdle in the road called the Bronze Bomber AKA the knockout king (Wilder).

“But I will get on to him and knock him out and then we get on to the big fights.”