Chief executive Jes Staley said: “This has been a period focused on supporting our customers, clients and the UK economy through the Covid-19 pandemic - providing the people and businesses that we serve with a bridge to recovery in every way we can.”
He added: “To help consumers with their short-term household finances more than 600,000 payment holidays have been provided along with other fee waivers and support measures.
Chief executive Jes Staley said 2020 would be challenging
REUTERS
“Our consumer business income decreased by 11% in Barclays UK … as a result of the lower interest rate environment, fewer interest earning balances, reduced payments activity and action to provide support for customers.
“Credit impairment charges increased to £3.7 billion in the first half due to the forecast impact of Covid-19. However, our improved pre-impairment performance ensured that we still delivered £1.3 billion profit before tax for the first half of 2020, post impairment.
“While the remainder of 2020 will be challenging, our diversified model means we can remain financially resilient and continue to support our customers and clients."
In better news Barclays investment banking division put in a strong performance.
The fixed income, currencies and commodities division was the top performer in the unit with a 60% increase in income to £1.4 billion during the second quarter.
While the markets division posted a 49% rise in income to £2.1 billion.
The strong investment bank performance supports Staley’s strategy of maintaining the bank’s diversified business model, contrary to the wishes of activist investor and top shareholder Edward Bramson, who wants Barclays to shrink the business to slash costs.
