UK dividends start 2026 on stronger footing
UK companies paid £16.4bn in dividends in in the first quarter of 2026, helped by sizeable special dividends and steadier underlying growth.
Regular payouts beat expectations, and most sectors held up better than forecast. With a strong start to the year and a supportive outlook for Q2, we’ve upgraded our projections for 2026 projections.
Key highlights:
Q1 headline dividends: £16.4bn (+21.1%)
Regular dividends: £13.2bn (+1.1%, constant currency)
Mid‑cap growth outpaced the top 100
Projected UK equity yield: 3.5%
2026 forecast: £91.6bn headline, £86.7bn regular
“UK dividends got off to a stronger‑than‑expected start in 2026. While one‑off specials lifted the headline number, regular dividends also beat our January forecast, supporting an improved outlook for the year.”– Mark Cleland, CEO of Governance Services and CEO of Issuer Services UCIA
