This is in addition to provisions recognised of $1.61bn in 2011 and $484m in the first quarter of 2012. Based on claims experience to date and anticipated future volumes, the resulting provision includes Barclays best estimate of expected costs of future PPI redress. Barclays will continue to monitor actual claims volumes and the assumptions underlying the calculation of its PPI provision.
On 31 October 2012, Barclays will announce its third quarter Interim Management Statement. Barclays currently expects the Group adjusted profit before tax, which excludes the impact of own credit (expected to be a charge of $1.77bn) and the provision for PPI redress, for the three months ended 30 September 2012 to be broadly in line with current market consensus of $2.74bn.
image: © Toby Jagmohan