Barclays set £1bn aside for yet more errors

29 July 2015

Barclays-PA Barclays may have just sacked their chief exec - Antony Jenkins - but they've also welcomed the news that they've had a 25% rise in half-year profits to £3.1bn.

So what's the problem? Well, they've confirmed that they've still got a lot of mess to clean up, from their errors in the past, adding £1bn to their cock-up pot.

Barclays said £250m has been put to one side for customer redress on packaged bank accounts, which basically means that they're sorting out allegations of misselling. They've also kept £750m aside over the PPI scandal.

In total, they have a bill of £6bn for all the stuff they've messed-up on.

John McFarlane, the person who replaced Jenkins earlier this month, said that the bank need to get their act together, and that they need to "accelerate growth in earnings", cut costs, and "streamline and eliminate unnecessary and cumbersome bureaucracy". "There is a lot we can do to accelerate our progress and the work has already begun," said Mr McFarlane.

There's been rumours doing the rounds that suggest Barclays might have to axe up to 30,000 jobs too, which is lousy news indeed.

TOPICS:   Banking

1 comment

  • Albi
    The pisser is that they probably legally owe ten times the amount, but instead of just refunding everyone and getting on with their life they are still trying to wriggle out of every single claim. So they drag the claims out and keep saying they have to put £1b aside every quarter when in fact they've probably avoided paying out another £2b because the Tories refuse to make all the banks pay all the money they owe back to their customers automatically. The real scandal is that every single case isn't being investigated automatically and the public are required to do the legwork.

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