Barclays Bank is issuing UK internet banking customers with anti-virus software, as part of attempts to reduce online identity theft.

The bank has signed a deal with Finnish anti-virus firm F-Secure, which will provide software to the bank's 1.6m UK internet banking customers.

While other banks offer discounted anti-virus software deals to customers, Barclays is the first in the UK to give it away for free.

'Nearly two-thirds of home PCs don't have active virus protection, and one in five is actually infected by a virus, placing people at risk from data theft, as well as damage to their computers,' said Barnaby Davis, director of electronic banking at Barclays.

The F-Secure software will protect Barclays' online customers against spyware, trojans and other keystroke logging software, which could be used by criminals to try and steal financial details and passwords.

Analyst firm Forrester claims that some 600,000 online banking customers in the UK have stopped making transactions on the internet due to security fears.

Davis added: 'Because of the risks, some people are concerned about the security of online banking, despite banks themselves being secure.'

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