UK's Osborne says hopes Lloyds sale to be done within a year

HELSINKI, Aug 24 (Reuters) - British finance minister George Osborne said on Monday he hoped the sale of the government's shares in Lloyds Banking Group (Other OTC: LLOBF - news) will be completed within a year.

"My view is that we want the government out of the banking system in the UK," Osborne told reporters during a visit to Helsinki. "I hope that (Lloyds) will be complete within the year."

The sale of shares in Royal Bank of Scotland (LSE: RBS.L - news) , another bank rescued by the government during the financial crisis, would take longer, he said.

Earlier on Monday, the government said it had reduced its holding in Lloyds to below 13 percent after a latest sale of shares to institutional investors.

(reporting by Jussi Rosendahl, writing by William Schomberg; Editing by Steve Slater)