UK dividends soar to record high in 2017 - but beware '2018 hangover'

Mining sector reported 162% rise

Laura Dew
clock • 2 min read

UK headline dividends beat expectations to climb to a record high in 2017 of £94.4bn, an increase of 10.5% year on year, but strengthening sterling in the fourth quarter meant "gains turned to losses", which could be an indicator for 2018 trends.

According to the latest quarterly survey from Link Asset Services (formerly Capita Asset Services), headline dividends were up from £85.4bn in 2016 to £94.4bn and underlying dividends, which exclude special dividends, were £87.7bn. However, On a constant-currency basis, underlying dividend growth was 7.9% for the full year. The firm had previously forecast headline dividends would be £94bn during the year, so payments beat these expectations.  The previous headline record was set in 2014 when £88.1bn was paid out. Some 13 sectors saw growth in dividends year-on-year including indus...

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