Barclays bank has joined Britain’s other banking groups by announcing substantial profits.
The announcement that Barclays profits jumped 44 per cent to £3.95billion in the first six months of the year is expected to further boost investors as a string of good results from the banking sector show signs of economic recovery.
Barclays' rise is said to have been boosted by a sharp drop in bad debts and its investment banking division Barclays Capital, produced the majority of the profits with a trebling in earnings to £3.4bn.
John Varley, the Barclays chief executive, said: “Against the backdrop of subdued economic and market activity and the sovereign debt storm of the second quarter, we have delivered good growth in income and profits during the first half of the year.
“We recognise our wider social responsibility as an enabler of economic growth and prosperity, and our actions are - and will continue to be - informed by this duty. The period ahead will be one of great importance to the future of the industry as the final shape of the reform agenda starts to solidify. We will engage fully in that dialogue, whilst keeping our eyes firmly on the needs and interests of our customers and clients.”
The bank also said they had responded to pressure from the Government to increase lending saying it lent £18bn to UK households and businesses over the six month period.
Chancellor George Osborne had earlier called on banks to increase lending to support any economic recovery.
The news follows Lloyds Banking Group’s good results with a £1.65 billion profit and HSBC’s announcement on Monday that they made a £7.1 billion profit, more than double the previous year’s figure.
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