AJ Bell: FTSE 100 dividend growth predictions continue to slide

Estimated £78.7bn in 2023

Dividends are still expected to grow by single digits this year and next, but forecasts for the FTSE 100 continue to fall over 2024 as earnings predictions dip, according to the latest analysis from AJ Bell.

Profits before tax at the UK's 100 biggest listed firms are expected to increase by 10% this year. However, this is down from a prediction of 19% growth three months ago. AJ Bell: 2023 'on track' to be third best year for cash returns from FTSE 100 This fall is due largely to reduced profit forecasts among the index's mining companies, where China's economic woes weigh heavily upon sentiment. As a result, total FTSE 100 dividend payments for 2023 are now forecast to come in significantly below expectations, from £83.8bn predicted at the end of June, to current estimates of £78.7bn....