What Barclays reported

Corporate filings released on Tuesday showed Barclays put £1.3bn towards its bonus pool for the first half of the year, up from £1bn a year earlier.

The increase followed a rise in second-quarter pre-tax profits to £3.3bn, up 31% year on year, taking half-year profits to £6.1bn, which is a 17% increase.

The results also allowed the bank to announce a £1bn share buy-back and £800m in dividends for shareholders.

The figures land as Andy Burnham's government weighs how to fund its cost-of-living plans.

The strong results emboldened calls for a levy on lenders, with the Trades Union Congress saying Burnham's plans to tackle the cost-of-living crisis needed "more support in the months ahead", as the Guardian reported.

"Big banks like Barclays are raking it in while working people and local businesses are struggling. Barclays' bonanza profits show that banks can easily afford to pay more tax. This is a chance for the new prime minister and chancellor to show whose side they're on. It's time to increase the bank surcharge and tax banks to bring down energy bills."

Paul Nowak, TUC general secretary

Barclays executives used a call with journalists to stress they were taxed more heavily than their foreign peers.

With final pay decisions not due until the end of February, the bonus pot will keep building through the second half, keeping the pressure on Downing Street over whether the surcharge goes up.