Barclays confident of growth
Tuesday, 07 Oct 2008 11:40
Barclays claims it is well-capitalised and has not asked for government cash
Barclays predicts there will be more opportunities to grow in the credit crunch.
The bank said its recent acquisition of the investment banking arm of Lehman Brothers and the Goldfish credit card business earlier in the year could not have happened without the credit crunch.
"There will be growth opportunities. Now is the time to be ready for them," group chief executive John Varley told an investors' conference.
Mr Varley also quizzed on speculation the major banks have asked the government for £50 billion in capital to ease the liquidity crisis.
"Contrary to press rumours, Barclays has not requested capital from the government and has no reason to do so," Mr Varley said.
In his speech, Mr Varley emphasised the strength of Barclays capitalisation and said capital ratios are running "well above target".
The bank has also adopted more conservative attitudes to lending and risk during the crisis, Mr Varley said.
Royal Bank of Scotland, whose shares fell by 30 per cent to a low of 90p this morning, is also due to make a presentation at the conference today.
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