Barclays prepare to unveil capital plans

Barclays will, this week, say how it plans to meet tougher UK rules on capital, while strong earnings from Lloyds Banking Group will pave the way for Britain to sell some of its shares in the bank.

Barclays, which publishes results tomorrow, is expected to set out plans either to sell bonds that are wiped out if it hits trouble or to raise equity to meet the UK rules.

Barclays’ advisers have, reportedly, sounded out investors about a possible £4bn (€4.63bn) rights issue. Sources said last week that was an option, but not the preferred one. CEO Antony Jenkins is still in talks with regulators about how to hit the target, so plans could change at short notice.