Barclays' profits rise by 12 per cent

It has also seen a 9 per cent increase in total income over the same period which charts the nine months to September 2007.

Group chief executive, John Varley, said: "The diversification of our profits in recent years, together with the investments we have made in businesses both inside and outside the UK, is serving us well in 2007.

"Our performance was supported by good underlying growth in Global Retail and Commercial Banking, and by resilience in Investment Banking and Investment Management in the face of turbulent market conditions in the second half."

Overdraft charges of £30 million were paid back to the bank's UK customers in Q3 of 2007 bringing the bank's total refunds for the year so far to £117 million.

In addition to this, earnings per share were up 14 per cent, while dividends per share were up 10 per cent.