Weakening sterling set to provide £5.7bn boost to UK dividends in 2022

£31.4bn dividends in Q3

Valeria Martinez
clock • 1 min read

The weakness in the pound is expected to boost UK dividends this year by £5.7bn, despite a decline in one-off large special payouts, the latest Dividend Monitor from Link Group revealed.

In the third quarter of 2022, dividends increased to £31.4bn on an adjusted basis, with the weak currency contributing a £1.9bn boost. Payouts in the third quarter were a little less than anticipated due to a decline in mining dividends, even with the exchange rate uplift. "The exceptional weakness of the pound [has] enormously flattered the figures. As the dollar has soared in value, the translated value of dollar dividends has received a boost," said Ian Stokes, managing director at Link Group.  "On current trends, the boost in the fourth quarter is likely to be even larger and will...

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