UK equities record best week since mid-March

(For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window)

* Miners rise as metal prices gain ground

* Deliveroo down on JPMorgan downgrade

* Banks, retailers among top weekly performers

* FTSE 100 up 0.3%, FTSE 250 adds 0.6% (Updates prices)

By Sruthi Shankar

May 27 (Reuters) - The FTSE 100 inched higher on Friday, recording its best weekly showing since mid-March, although oil and gas stocks came under renewed pressure after the UK government's windfall tax plan this week.

The FTSE 100 .FTSE rose 0.3%, with most European markets ending the week higher, taking heart from a Wall Street rally after the Federal Reserve minutes suggested it could pause its rapid rate hikes later this year.

Banks .FTNMX301010 gained 1.1%, while UK-listed global miners such as Glencore GLEN.L , Rio Tinto RIO.L and Antofagasta ANTO.L rose about 1.5% each as copper and iron ore prices were boosted by a weaker dollar.

However, oil majors such as BP BP.L and Shell SHEL.L slipped about 2% after Britain announced a 25% windfall tax on oil and gas producers' profits on Thursday.

Power generators such as SSE SSE.L , Centrica CNA.L and Drax DRX.L dropped between 1.6% and 4.2%, while Harbour Energy HBR.L , the biggest UK North Sea oil and gas producer, dropped 10.8% and EnQuest ENQ.L fell 10.4%.

"The big shakedown will be how investors in the UK's oil and gas majors like BP and Shell will feel about windfall taxes," said Sophie Lund-Yates, lead equity analyst at Hargreaves Lansdown.

"While not a long-term problem for profits, the incentivisation to invest their profits could see dividends trimmed."

The domestically oriented FTSE 250 midcap index .FTMC gained 0.6%, with transport group FirstGroup Plc FGP.L extending gains for a second day after attracting buyout interest from an investment firm.

Both the FTSE 100 and FTSE 250 indexes posted their biggest weekly gains in over two months, with banks and retailers providing the biggest boost.

Retailers have gained this week after the government's new 15 billion pound ($19 billion) package of support for households spurred hopes of more spending.

Food delivery company Deliveroo ROO.L slipped 1.4% after JPMorgan downgraded the stock to "neutral".

FTSE 100 outperforms European, U.S. peers so far this year Link

Reporting by Sruthi Shankar and Amal S in Bengaluru; Editing
by Subhranshu Sahu and Jon Boyle

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