IFRS 9 eases impairment charges, softening Barclays' profit drop
Total credit impairment charge stood at £571 million, a 46% decline year-on-year
Credit impairment charges at Barclays plummeted during the first half of this year, reflecting the volatility introduced to banks’ earnings by the switch to the IFRS 9 accounting standard in January.
The charges fell by £483 million ($633 million) in the six months to June 30, a 46% decline from a year ago. The group’s loan loss rate – its impairment charge divided by gross outstanding loans – was 35 basis points, 14bp lower than end-June 2017.
The bank stated in its first-half earnings that
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