Banking results in the spotlight

Banking giants will dominate the reporting this week, with the City looking out for any Brexit concerns when Barclays and Lloyds deliver their half-year results.

Barclays posts its half-year figures on Friday after a betterthan-expected results season from its US counterparts, but Brexit will remain in focus.

Barclays saw profits tumble by a quarter in the first three months of the year as it was hit by tough trading in its investment banking arm.

The group posted first-quarter pre-tax profits of £793 million, down from £1.1 billion a year earlier as underlying profits in its corporate and investment banking business dropped 31%.

Lloyds Banking Group is expected to bolster profits when its updates the market with its half-year results on Thursday.

The state-backed bank looks set to boost statutory pre-tax profits to £2.35bn for the first half of the year, up from £1.19bn over the period last year, according to consensus figures.

It comes after the lender saw its profits take a hit in the period last year when it added £1.4bn to its bill for compensating customers mis-sold payment protection insurance (PPI).

The consensus figures have pencilled in the bank’s net interest income to edge up to £5.81bn over the period, compared to £5.71bnn the year before.

Barclays posts its half-year figures on Friday.