Nov. 26 (Bloomberg) -- U.K. stocks rose as a report showed Britain's economy expanded at the quickest pace in a year, exceeding economists' expectations. Granada Plc and Carlton Communications Plc paced the gains.

The benchmark FTSE 100 Index rose 22.3 points, or 0.5 percent, to 4411 as of 11:42 a.m. in London. The index has risen for the past four days. The FTSE All-Share Index added 11.07 points, or 0.5 percent, to 2175.75.

The U.K.'s gross domestic product rose 0.7 percent in the third quarter, more than the 0.6 percent reported last month, the government said. Economists had expected no revision. The economy grew 0.6 percent in the second quarter.

``Yet another number has surprised on the upside,'' said Richard Iley, an economist at BNP Paribas SA in London. ``There's every expectation that growth will be even stronger in the fourth quarter.''

Granada, the television company that is buying competitor Carlton, added 5.75 pence, or 4.9 percent, to 124.25 pence after saying fiscal full-year profit was 15 million pounds ($26 million), compared with a loss of 378 million pounds a year earlier. That is Granada's first annual profit for three years.

Carlton added 11.25 pence, or 5.1 percent, to 233.25 pence after posting its first annual profit in four years as it closed an unprofitable pay-TV venture and cut expenses.

The following stocks are making gains or losses today. Stock symbols are in parentheses after company names.

Anglo Irish Bank Plc (ANGL ID), Ireland's third-largest lender by market value, advanced 60 cents, or 5.7 percent, to reach a record 11.05 euros after boosting second-half profit by 39 percent to 144.7 million euros ($171 million). The bank, which made 41 percent of its 2002 sales in the U.K., said it will set aside less money for bad loans.

BAA Plc (BAA LN), the world's largest airport operator, added 5 pence, or 1.1 percent, to 481. The London-based Times said BAA will invest 450 million pounds in the city's Heathrow airport to accommodate a potential 10 million extra passengers a year when the new Airbus A380 comes into service in 2005. The newspaper cited Paul Fairbairn, BAA's development director.

British Land Plc (BLND LN), the largest landlord to banks in London's financial district, fell 12 pence, or 2.1 percent, to 561 pence, the biggest decline in a month. Robert Fowlds, an analyst at Merrill Lynch & Co., cut his recommendation to ``neutral'' from ``buy.'' Analysts at Kempen & Co. cut their recommendation on the stock to ``neutral'' from ``add.''

The company said the net value of its holdings increased 5.8 percent in the first half because of share buybacks, demand for retail properties and asset sales.

Connaught Plc (CNT LN), a building-maintenance company, advanced 16.5 pence, or 4.9 percent, to 356.5 pence. That is the stock's only increase this month and the biggest gain since June. Connaught said net income in the year ending Aug. 31 rose 39 percent to 3.13 million pounds as it won more orders for the electrical refurbishment of housing.

Fortune Oil Plc (FTO LN), a U.K. oil company operating in China, added 0.6 pence, or 21 percent, to reach at least a three- year high of 3.42 pence after saying it agreed to final terms on a gas pipeline joint venture with a unit of China National Petroleum Corporation.

HSBC Holdings Plc (HSBA LN), the world's second-biggest bank by market value, declined 7 pence, or 0.8 percent, to 889.5 pence as the shares traded without the right to the interim dividend of $0.12.

J Sainsbury Plc (SBRY LN), the U.K.'s third-largest grocery chain, declined 10.75 pence, or 3.5 percent, to 299.75 pence as the stock traded without the right to the interim dividend of 4.33 pence.

Royal & Sun Alliance Insurance Group Plc (RSA LN), the insurer that has posted three years of losses, fell 0.75 pence, or 0.9 percent, to 87 pence after A.M. Best Co. cut the financial- strength ratings of its U.S. businesses to ``fair'' from ``very good.''

Sportingbet Plc (SBT LN), an Internet sports-betting company, gained 1.25 pence, or 4.1 percent, to a three-month high of 32 pence. The company said it agreed to work with Yoomedia Plc, an interactive entertainment company, to develop betting games for U.K. digital television. Revenue from the three-year contract will be shared, the two companies said in separate statements.

Yoomedia (YOO LN) advanced 4.5 pence, or 14 percent, to 36.

Vodafone Group Plc (VOD LN), the world's biggest mobile- phone company, slipped 0.75 pence, or 0.5 percent, to 138 pence as the stock traded without the right to the interim dividend of 0.9535 pence.