Barclays profits fall by a third
(Source: BBC News - http://www.bbc.co.uk/news/business-14368974)
Barclays has announced that pre-tax profits for the first six months of this year came in at £2.6bn, down 33% from the same period last year.
However, this includes a £1bn charge for settling claims of mis-selling of payment protection insurance (PPI).
The bank also said it earned less from investments in bonds and commodities.
On Monday, HSBC reported pre-tax profits for the first six months of the year of $11.5bn (£7bn), up 3% from the previous year.
Lending targets
Most of Barclays profits come from its investment banking division Barclays Capital - which includes parts of the former US bank Lehman Brothers.
But profits at this division fell 9% to £2.3bn.
Despite the reduced profits, Barclays chief executive Bob Diamond said he was pleased with the results in what he called a "lacklustre" economic environment.
He claimed the bank was also fulfilling its deal with the government to lend to UK businesses.
"We are meeting our Project Merlin commitments and have extended £20bn of new lending to businesses in the first half," he said.
That included £7bn of lending to small and medium sized firms.
