UPDATE 1-Lloyds fine in LIBOR rigging probe to be announced next week -sources

(Updates information from sources)

By Kirstin Ridley and Matt Scuffham

July 24 (Reuters) - The long-awaited fine on Britain'sLloyds Banking Group in relation to the benchmarkinterest rate (LIBOR) fixing allegations will be announced nextweek, two sources familiar with the inquiry told Reuters.

One source said the settlement, which will be the seventhjoint UK and U.S. penalty in this inquiry, could be in theballpark of 200 million to 300 million pounds.

Deutsche Bank is expected to be the eighth bank to settleU.S. and UK allegations of manipulating benchmark interestrates, which are used to price around 450 trillion dollars offinancial products worldwide.

Britain's Financial Conduct Authority said in 2012 itexpected to reach eight "global" U.S.-UK settlements withfinancial institutions over the rate-rigging allegations,although it has not ruled out the possibility of pursuing moreinstitutions alone.

Including fines dished out by the antitrust regulator, theEuropean Commission, on cartel grounds, a total of 10 banks andbrokerages have been fined around $6 billion for benchmarkinterest rate manipulation to date. Seventeen men have beencriminally charged.

The Financial Times reported earlier on Thursday that Lloydsis expected to announce the settlement before declaring itsfirst-half results, citing people familiar with the situation.(http://on.ft.com/1mK7C1q)

Lloyds, FCA, CFTC and DoJ could not immediately be reachedfor comment.($1 = 0.5888 British Pounds)($1 = 0.5887 British Pounds) (Reporting by Aashika Jain in Bangalore, Kirstin Ridley andMatt Scuffham in London; editing by Gunna Dickson)