LONDON (AFP) - Britain's state-rescued bank Lloyds will take an extra hit of almost 2 billion pounds (S$4.2 billion) to cover mis-selling claims.

Lloyds will take a provision of 1.8 billion pounds for claims relating to the mis-selling of payment protection insurance, and 130 million pounds relating to over the mis-selling of interest rate hedging products to small businesses, it said in an update before annual results on Feb 13, adding it expects to make a "small" pre-tax profit.