Barclays, the third-biggest British bank, has reported net profit up 33% to £4.571 billion (€6.782 billion) in 2006, lifted by its investment banking arm and despite an increase in customers defaulting on loans.
Its investment unit, Barclays Capital, increased profits by 55% to £2.216 billion compared with 2005, as global financial markets made strong gains.
Barclays record overall performance meanwhile came despite a 37-percent surge in its impairment, or bad debt, charges to £2.154 billion in 2006.
'Conditions in UK cards and consumer loans were difficult but Barclaycard UK consumer credit performance is beginning to improve,' Barclays chief executive John Varley said.
He added that the group are well positioned to deliver further growth in the years ahead.
