Britain's ready for interest rate rise, says Lloyds boss

UK's biggest mortgage lender says borrowers can withstand a gradual rate rise as the economy remains resilient

Britain's borrowers can withstand the impact of the first rise in interest rates in a decade, the chief executive of Lloyds Banking Group said on Wednesday.

Antonio Horta-Osorio believes any increase from the current record low of 0.25% would be gradual and said the bank - the biggest mortgage lender and savings institution in the UK - did not expect rates to reach 1% until 2019.

Related: First UK interest rate rise in a decade still likely despite modest growth