Liverpool plc is expected to pay a dividend of 5 at the end of next year (i.e., at t=1). Dividends are annual and are expected to grow at a constant growth rate forever afterwards. The current share price is 100. Assuming that shareholders of Liverpool plc. require a rate of return equal to 6.5% per year, what future dividend growth rate would be necessary to make the current share price equal to the fair value of Liverpool plc?

a. 1.0%

b. 1.5%

c. 2.0%

d. 2.5%