US Federal Reserve lifts key interest rate to end seven years of near-zero rates

The Federal Reserve has increased US interest rates for the first time in nearly a decade, marking a milestone in the recovery of the world's biggest economy.

Interest rates in America have not been increased since June 2006 and have remained at a target range between zero and 0.25% since December 2008.

But this evening the Federal Reserve raised its key interest rate by 0.25%, ending seven years of near-zero rates.