Steady dividend growth over 100 years reflects growth in UK industry

Equity yields are looking increasingly attractive versus other sources of income, such as cash and g...

Equity yields are looking increasingly attractive versus other sources of income, such as cash and gilts. At the start of November, the difference between the dividend yield on the FTSE All Share and the two-year gilt yield stood at a high of 3.2%.Since the late 1950s, there has only been one other brief period when UK equities offered a more attractive yield than gilts - March 2003. An important caveat to the current relationship is that the yield on equities is historic, and the number of dividend cuts, led by the banking sector, is on the increase. UK dividend growth has been relativel...