Barclays reported first-half 2026 profit before tax of £6.1 billion on 28 July, up 17% from a year earlier, on group income of £16.5 billion. Return on tangible equity (RoTE) for the half rose to 14.8% from 13.2% in the first half of 2025.
In the second quarter alone, income rose 16% to £8.34 billion from £7.19 billion, and profit before tax increased 31% to £3.25 billion from £2.48 billion. Quarterly RoTE was 16.1%, compared with 12.3% a year earlier, and the cost-to-income ratio improved to 54% from 59%.
INVESTMENT BANK DRIVES QUARTER
Income at Barclays Investment Bank rose 20% in the second quarter to about £3.96 billion, helped by Global Markets activity and higher investment banking fees. Equities income was up 45% at £1.26 billion. Barclays UK income increased 7%, UK Corporate Bank income rose 8% and Private Bank and Wealth Management income grew 5%. US Consumer Bank income rose 38% to about £1.14 billion, including a gain of about £225 million from the sale of the American Airlines co-branded card portfolio.
Group operating expenses rose 7% to £4.52 billion in the quarter, while credit impairment charges increased to £571 million from £469 million.
BUYBACK AND HIGHER INCOME TARGET
Barclays announced a share buyback of up to £1 billion and a half-year dividend of 5.9p per share, up from 3p a year earlier, taking total capital distributions for the half to £2.3 billion. The Common Equity Tier 1 ratio ended June at 14.3%.
The bank raised its 2026 group income target to about £31.5 billion from £31 billion, and now expects net interest income excluding the Investment Bank and Head Office of more than £13.7 billion, up from more than £13.5 billion. Group Chief Executive C.S. Venkatakrishnan said: "We are upgrading the 2026 Group income target to c.£31.5bn and remain committed to, and confident in, delivering all financial and distribution targets for 2026 and 2028."