Barclays profits up 35%

Barclays, with which millions of Brits have credit card debt, reports that compared to 2006 its overall income rose by a quarter to reach more than £21, 595 million.

“Conditions in UK cards and consumer loans were difficult but Barclaycard UK consumer credit performance is beginning to improve,” remarked John Varley, Barlclays chief executive.

Mr Varley went on to reflect that the bank had had an “excellent” 12 months to the end of 2006 and suggest that Barclays was “well positioned” continue its trend towards increased growth over the coming years.

Last week, Richard Snook, from the Centre for Economics and Business Research, said an interest rate increase – which would in turn heighten debt management problems for many – is “extremely likely” in March.