Barclays’ first-half profit slides 33%

by Gill Montia

Story link: Barclays’ first-half profit slides 33%

Barclays has joined its High Street rivals in reporting a sharp decline in first-half profit.

Britain’s third-largest bank posted pre-tax profit of £2.75 billion for the six months to the end of June; the result was 33% less than a year ago (£4.1 billion).

Bad debt cost the group £2.4 billion during the period.

Investment unit, Barclays Capital, wrote down around £1.98 billion and first-half pre-tax profit came in at £524 million, 68% less than the £1.7 billion recorded for the first six months of 2007.

Fund manager, Barclays Global Investors, posted a 32% decline in profit, to £265 million, as a result of falling share prices.

Across the group, credit card division Barclaycard saw strongest growth in profit, with a 30% rise, to £388 million.

Barclays’ interim dividend will be paid at 11.5p, as previously announced.