Barclays aims to boost revenue by 20%

16th Jun 2011 09:18

Barclays said it aims to boost its revenue by up to 20% before 2013, primarily by generating additional income under a revamped cost cutting plan. Ben Diamond, the bank's chief executive, outlined on Wednesday his plan to generate an additional income of between £4.3bn and £6.4bn by 2013, relative to 2010. The plan identified up to £2bn of potential savings, double the initial estimate of £1bn.Barclays Capital is expected to be the largest contributor to the revenue boost and is projected to deliver an additional income of between £1.8bn and £2.4bn from growth in its equities and investment businesses. In the presentation to investors, Diamond also said the bank was on track to increase its overall return on equity to 13% by 2013, from 7.2% last year. Barclays sees a slow recovery in Europe and expects its retail and commercial business to return to profit next year. Shares of Barclays, which closed down 2.7% on Wednesday, were trading down 1% at 254.95p on Thursday.AR