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Banking major Barclays has stressed its confidence in the future by pledging to restore its full dividend in 2018 as a slide in investment banking income last year failed to prevent a 10 per cent lift in annual group profits.

Shares jumped 4.4 per cent, sending them towards the top of the FTSE 100 leaders’ board, after the lender said it would resume paying its full dividend of 6.5 pence per share.

The divi was halved in March 2016 to provide extra funds to pay for restructuring. Barclays chief executive Jes Staley said yesterday: “It is our firm intent, over time, to return a greater proportion of our earnings to shareholders, both through the annual dividend and in other ways.”

It came after rival Lloyds Banking Group announced a 20 per cent jump in its annual dividend on Wednesday and said it would do a £1 billion share buyback this year – raising the value of the fewer shares left in circulation.

Barclays posted a pre-tax profit of about £3.5bn for 2017, up from £3.2bn in 2016. This was despite “weak mar-

0 Nearly 370 group employees at the bank earned more than £1m last year

JES STALEY, CEO ket conditions” for its corporate and investment bank arm, which saw a 22 per cent fall in profits to £2.1bn from £2.7bn in the previous 12 months.

However, Staley said: “Although we are only seven weeks into the first quarter, and it is too early to offer formal guidance, we are pleased with the start to the year, and in particular in the markets businesses in CIB (corporate investment banking).”

Staley added: “We have a portfolio of profitable businesses, producing significant earnings, and have plans and investments in place to grow those earnings over time.”

Speaking after the results, Barclays bosses confirmed that a £127 million charge taken in its fourth quarter largely related to failed outsourcing giant Carillion, which collapsed into liquidation last month.

The bank also took another £700m financial provision for mis-selling of payment protection insurance (PPI) and a £240m charge relating to alleged foreign exchange

“We have a portfolio of profitable businesses, producing significant earnings.”