UK dividends were down more than 50% in the second quarter of 2020
The pandemic has hit the global economy hard and devastated the dividend payments of many leading UK companies. Between April and June 2020, total UK dividends payments were 57.2% lower than in the second quarter of 2019, according to Link Asset Services.
Many companies – notably the big banks – stopped dividend payments altogether. Despite the cuts, Link’s worst-case-scenario is that UK shares will provide an income yield of 3.3% over the next year – still much better than current deposit rates.
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The value of your investments and the income from them can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.
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