BARCLAYS Bank has joined up with Japanese counterpart Nomura in an alliance to launch a Barclaycard-branded Internet shopping site.

The pair will plough £30m into the new venture, which they hope will provide users with the most comprehensive online shopping facility.

The portal, whose name has yet to be revealed, will be launched later this year and the partners have set a target of half a million users by the end of 2001 and to be profitable a year later.

Would-be shoppers will have a huge array of goods to choose from, Barclays said, with an ambition by the end of next year to have 350 retailers selling more than five million products.

At its launch around a million lines will be on offer from more than 50 companies, who are again yet to be revealed, already signed up to the Barclaycard web site concept.

To help customers navigate around the giant website, an advanced search engine will be used to select which of myriad of goods might meet their needs.

The move is Barclays' attempt to cash in on the increasingly lucrative world of "e-tailing", which by 2005 is forecast to generate revenues of £12.5bn in the UK alone.

It will make its money in the form of commission from all sales generated through the web site, as well as by selling banner advertising on it.

Barclaycard's chief executive Bob Potts said Nomura's contribution of £10m towards the site was "testimony to Barclays position as one of the world's leading e-commerce financial services companies and an endorsement of Barclaycard's status as a premier online payments brand.

"Building our credentials as a major player in Internet-related commerce will be a significant factor in the growth of Barclaycard over the next five to 10 years," he said.

Senia Rapisarda, head of principal investments at Nomura's communications and technology division, added: "We believe that Barclaycard's large customer base and the trust and reassurance associated with its strong brand will allow the portal to capture a substantial share of the online shopping market."