Barclays has seen a 5 per cent fall in its quarterly profits largely because of a big drop in profits from its investment bank.
The bank’s profit before tax for Q1 2014 was £1.7bn, down £93m on the same period last year. Profits at the investment bank fell from £1.3bn in the first quarter of 2013 to £668m in Q1 this year.
Barclays chief executive Antony Jenkins says: “A continued strong momentum across our retail, cards and corporate banking franchises, all of which generated higher returns year on year, offset by a significant decline in FICC income within the Investment Bank, resulting in Group adjusted profit before tax decreasing 5 per cent.”
The news comes weeks after the bank faced shareholder dissatisfaction over its decision in February to increase the size of its bonus pool by 10 per cent.
Jenkins says the bank will update the market on how it plans to deliver “improved and sustainable returns and growth for our shareholders” this Thursday.
He says: “This plan will address issues underlying the performance challenges we have recently experienced, including positioning the investment bank for the new operating and regulatory environment.”