Barclays has revealed a 92% rise in pre-tax profits.

UK bank Barclays has announced its full year results for 2009, showing profit before tax of £11,642 million – a rise of 92%.

Having avoided government assistance during a tough year, the bank has remained profitable and now has revealed that its income is up by £8 billion, and it has a core Tier 1 capital ratio of 10%.

Excluding movement on own credit, gains on acquisitions and disposals and gains on debt buy-backs, underlying Group profit before tax increased 243% to £5,634m from £1,643m.

Overall Group profit before tax was £11,642m, 92% up on 2008. Excluding the £6,331m profit on disposal of Barclays Global Investors (BGI), total Group profit before tax was £5,311m, down 13%. Retained earnings in 2009 were £9.6bn (2008: £3.2bn).

In a statement by the bank, Chief Executive John Varley said: “Our record income performance produced a sharp increase in underlying profitability in 2009. We have strengthened our financial position considerably over the year in the areas of capital, liquidity and leverage and are well positioned to manage further changes that may be required of us by our regulators. 

“I thank our customers and clients for their trust in us, and our employees for their commitment and stamina in a tough and, at times, hostile environment.”

Barclays loaned about £35bn to businesses and households in the UK in 2009, having promised in April to lend at least £11bn. A willingness to lend in tough conditions is an important factor for economic recovery, however a report today from the Institute of Directors suggested that almost 60% of businesses seeking bank finance in the past year had been rejected – with some saying they had been forced to borrow on their credit cards.

Another contentious issue is that of banking bonuses. At Barclays, Mr Varley and Barclays President Bob Diamond have waived their rights to any bonuses of any kind for 2009 – for the second year running.

Yet around 23,000 investment banking staff at Barclays Capital are receiving £191,000 each on average in salary and bonuses – of which just under half is a discretionary bonus.

In an interview on Cantos.com, Mr Varley admits: “Banker’s pay is a matter of intense interest and I would say intense concern.” He goes on to say that banks and bankers should “recognise why it’s a matter of concern and behave accordingly.”

Shares in Barclays were up by more than 6% in Tuesday morning trading.

To watch a video interview with CEO John Varley, click here.