Home and dry: UK equities safe from dividend cuts as Lockdown 3.0 continues

Managers praise sector's adaptability during pandemic

Fund managers do not expect another wave of UK dividend cuts despite the country remaining in the throes of its third lockdown, but most have been forced to cast a "wider investment net" to find attractive opportunities amid restrictions.

Still reeling from Brexit trade deal uncertainty, asset managers suffered another blow when the government imposed a third national lockdown at the start of the year. Its impact, however, may not be as severe as the first two, according to industry commentators.  'Plenty of opportunities': Who is Peel Hunt's top trust pick for income investors? A key reason fund managers are confident lockdown 3.0 will not lead to a second wave of dividend cuts is that most of these were made in 2020. "Most companies that needed to cut dividends have done so already, and we have not seen a huge ...