Barclays weathers the financial storm with an increase in profits of 8%.

Barclays PLC has announced that its profit before tax is up 8% to £2.98 billion, for the six months to 30 June 2009.

The group has also revealed it received record income for the half-year of £16,253 million, up 37% compared to the same period in 2008.

The bank has been particularly pleased with the performance of its global retail and commercial banking arms, considering the economic climate. Barclaycard and the international businesses have driven strong growth, delivering income of £8,051m.

It also attributed its strong growth to the acquisition of the Lehman Brothers North American businesses, which it said has helped increase its presence in the US, which as a market has accounted for 40% of Barclays’ income.

Barclays Group CEO, John Varley said: “In challenging market conditions, we have continued to benefit from our diversified business base. The investments we have made, particularly in our international businesses, are driving very strong income performance and allowing us to absorb the consequences of the economic downturn.”

He continued: “Our goal for 2009 is very clear: we seek to deliver another year of solid profitability. Our first half performance is a good start to this.”

Barclays announced in June its intention to sell the Barclays Global Investors business to BlackRock, which is expected to complete at the end of 2009. This should provide a welcome boost to its second-half results as the bank receives approximately £4.1bn in cash, and continues to enjoy a hand in the business with an economic stake of 19.9%.

Bad debts in the US, Europe and Asia, have painted a very bleak picture for HSBC on the other hand, as the world banking giant today announced that its profits had halved to £2.98bn.

Lloyds Banking Group and the Royal Bank of Scotland are set to reveal their first half results later this week.

Barclays’ share price grew by 24.9p on the London Stock Exchange since it unveiled its results.