Barclays' reported a forecast-beating 18% rise in third-quarter profit on Thursday, and said slower than expected interest rate cuts and improving investment banking prospects would support revenues as it raised its income outlook for the year.

British bank Barclays on Thursday reported £1.6 billion ($2 billion) net profit attributable to shareholders for the third quarter, beating expectations.The result compared with the £1.17 billion net profit forecast in an LSEG poll of analysts and was 23% higher than the same period in 2023.

Barclays' third quarter profit rose 18%, it said today, as its investment bank cashed in on a jump in corporate dealmaking and trading during the period, echoing Wall Street rivals.

British bank Barclays on Thursday said its net profit jumped almost a quarter in the third quarter, helped by improved performance at its core UK and investment divisions alongside cost-cutting.

The banking giant revealed its pre-tax profits increased by 18 per cent year-on-year to £2.2billion in the three months ending September, far surpassing analyst forecasts of £2billion.