Barclays Capital, the investment banking arm of the UK bank, faces a lawsuit in London's High Court early next year from HSH Nordbank, the German state-owned bank, over losses made by HSH on credit derivatives backed by Barclays Capital in 2000.

The trial will be heard in two parts, with the first to be held in February next year. The legal proceedings have been issued against Barclays Bank, the parent company of Barclays Capital.