Public sector lender Union Bank of India has announced an increase in its base rate with effect from July 11, 2011.

The base rate of the bank has been raised by 25 bps to 10.25% from 10% earlier.

The benchmark prime lending rate (BPLR) remains same at 14.25%.

Many lenders have so far increased their lending rates following the interest rate hike by Reserve Bank of India on June 16, 2011.