Barclays Q1 Profit Rises 19% on Trading Boom and UK Lending Gains

Strong Trading Performance Offsets Tariff Concerns

Barclays (LSE:BARC) delivered a 19% jump in first-quarter profit before tax, reporting £2.7 billion versus £2.3 billion a year ago and ahead of the £2.5 billion consensus. Investment banking income climbed 16% to £3.9 billion, beating the £3.5 billion estimate, as elevated client activity in equities and fixed income under President Trump’s early-tenure volatility bolstered trading revenues.

Progress in UK Lending Fuels Revenue Upgrade

Under CEO C.S. Venkatakrishnan, Barclays continues its pivot toward more stable domestic operations. The bank raised its 2025 income guidance to above £12.5 billion (from £12.2 billion) thanks to strong mortgage and consumer-lending growth in the UK. This focus on higher-margin retail banking helped offset worries around potential tariff-driven slowdowns in the broader economy.

Solid Financial Health Amid Strategic Execution

Barclays’ resilient capital and liquidity profile underpins management’s confidence. According to FMP’s Company Information API, the bank maintains a BBB+ credit rating from key agencies and meets Basel III leverage targets—metrics that should support strategic initiatives and shareholder returns even if trade-policy uncertainty lingers.