UK's FTSE touches record highs as gold miners rally

* FTSE 100 touches new record highs

* Gold miners boosted as gold price rises after Fed statement

* Fed suggests less aggressive timeline on rate rise

* Next (Other OTC: NXGPF - news) falls off record highs after cautious outlook (Updates prices)

By Sudip Kar-Gupta

LONDON, March 19 (Reuters) - Britain's benchmark share index reached record highs on Thursday, with gold miners outperforming, after the U.S. Federal Reserve suggested it was in no hurry to raise interest rates.

The FTSE 100 index rose as much as 0.5 percent to a record high of 6,982.79 points, beating the earlier record of 6,974.26 points set on March 2. It then settled back to trade up 0.1 percent, 4.82 points higher at 6,957.32, by 1137 GMT.

Traders said the FTSE also got support from Wednesday's pre-election Budget statement by finance minister George Osborne, who announced modest increases in the forecasts for Britain's 2015 and 2016 economic growth.

"The budget statement and the Fed are keeping things looking pretty bullish and the FTSE should test the 7,000 record point level soon," said Thames Capital Markets' chief strategist Nav Banwait.

The FTSE's rise tracked similar gains on other world stock markets after the Fed's statement late on Wednesday.

The Fed dropped the word "patient" when it described its outlook for raising interest rates, as expected. But it also downgraded its views on the economy and inflation and lowered its interest rate trajectory. That signalled a more gradual approach than many investors had foreseen.

Gold and silver miner Fresnillo (Other OTC: FNLPF - news) rose 5.1 percent, the biggest gain in the FTSE 100. Rival gold miner Randgold also rose 2 percent.

The mining companies benefited from an increase in gold prices after the Fed statement. The Fed's cautious tone pushed the U.S. dollar down on currency markets, making gold more attractive.

However, clothing retailer Next fell 3.9 percent after the company's cautious outlook undercut a 12.5 percent rise in annual profits. The stock rose to a record high on Wednesday.

BESI Research analysts kept a "sell" rating on Next but others remained upbeat on Next's prospects.

"A history of innovation, coupled with a strong macro environment, means Next remains a robust stock for investors," said Ketan Patel, senior analyst at Ecclesiastical Investment Management, which owns Next shares.

(Editing by Larry King)