The UK bank increased CEO C.S. Venkatakrishnan’s total pay package to £15 million for 2025, up from £11.6m the previous year. Although his fixed pay was reduced, Mr Venkatakrishnan saw his variable compensation, including bonuses, jump from £8.5m to £12.8m. This move is part of a broader trend among European banks to narrow the pay gap with Wall Street rivals like JPMorgan, whose CEO Jamie Dimon earned $43m (c. £32m) in 2025.

The bank’s overall bonus pool for staff also grew by 15% to £2.2bn. This increase follows the UK’s decision to scrap the EU-inherited cap on bankers’ bonuses in 2023, allowing for more competitive recruitment and retention of top talent.

Barclays’ £9.1bn profit was driven by a 9% rise in total income to £29.1bn. Key highlights from the divisions include a 5% rise in Barclays UK’s income to £8.7bn, supported by the integration of Tesco Bank. It’s corporate banking division saw a 16% income jump to £2.1 billion, while income at Barclays’ investment banking arm grew 11% to £13.1bn, though banking fees fell 2%, lagging behind US competitors.

Bolstered by these results, the bank raised its long-term targets, now aiming for a return on tangible equity (RoTE) of more than 14% by 2028. The bank also announced a fresh £1 share buyback, bringing total capital distributions for 2025 to £3.7bn.

John Moore, wealth manager at RBC Brewin Dolphin, said: “The combination of a strong balance sheet increased operating cashflow and efficiency savings mean that Barclays can continue to undertake share buybacks, with a further £1bn announced today, yet remain committed to paying a progressive dividend and consider organic and inorganic investment opportunities. It will be interesting to see what is next, strategically, for Barclays.”