In depth 

The deficit threat to dividends

The deficit threat to dividends

Last month Lord Richard Balfe introduced a bill to the House of Lords that proposed requiring approval from the Pensions Regulator and pension scheme trustees before corporate dividends could be agreed. The dissolution of parliament prevented the Lords from taking a vote on the amendment, but the Conservative peer’s proposal represents the latest step in a surging antipathy among politicians, commentators and activists towards dividend policies that continue to reward shareholders while defined-benefit (DB) pension schemes remain in deficit. It must not evade the attention of income investors.

To continue reading, subscribe today

and enjoy unlimited access to the following:

  • Tips of the Week
  • Funds coverage
  • Weekly features on big investment themes
  • Trading ideas
  • Comprehensive companies coverage
  • Economic analysis
Subscribe
Subscribe to Investors Chronicle

Related topics

Subscribe today

Full access for just £3.37 a week:

• Tips and recommendations - to beat the market 
• Portfolio clinic & Mr Bearbull - build a well-planned portfolio 
• Expert tools - track and manage investments effortlessly
• Plus free delivery to your home or office

Subscribe Now