Gross mortgage lending hits £20.6bn at Barclays

Gross mortgage lending at Barclays has hit £20.6bn for the first nine months of this year with net lending at £4.8bn.

The bank’s interim management statement, published today for the first nine months up to the end of September, shows that its Core Tier 1 ratio was 10%, well above the 7% required by the Basel III agreement. And overall impairments are down 31% to £4.3bn from £6.2bn last year.

Group profit before tax for the year-to-date is up 4% to £4.3bn from £4.1bn in 2009.

Barclays has £28bn of wholesale term issuance in first nine months.

John Varley, group chief executive of Barclays, says its income and profit performance was resilient despite a subdued economic environment and moderate volumes.

He says: “We continued to invest in a number of our businesses on a pay-as-you-go basis with a view to increasing future returns on equity. Our loan loss rate and overall impairment charge have improved further in the third quarter.

“Our capital, leverage and liquidity ratios remain strong. We are well equipped to deal with regulatory change as Basel III is implemented between now and 2019.

“We understand what is required of us to support private-sector led economic activity and have lent some £35bn to UK households and businesses in 2010, an increase of over 30% versus the same period in 2009.”