Global dividends rise to first-quarter record $263bn despite growth slowdown

Worldwide dividend payments rose to record levels in the first three months of the year despite a global economic growth slowdown.

Shareholders received $263.3bn (£207bn) – a first-quarter record – rising 7.8 per cent compared with the same period last year, according to the Janus Henderson Global Dividend Index.

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The data revealed that dividend payments have almost doubled since the index began at the end of 2009.

However, the UK continued to lag behind the rest of the world with underlying dividend growth of 4.4 per cent in the quarter.

Total dividends paid out by UK firms grew 10.5 per cent due to BHP’s $10.4bn special dividend after the sale of its onshore US shale assets.

“Dividend growth has made a strong start in 2019 – this reflects a continuation of the robust growth witnessed in 2018, rather than necessarily setting the tone for another above trend year,” head of global equity income at Janus Henderson, Ben Lofthouse said.

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Lofthouse added: “We have already allowed for a slowdown in growth this year, and would highlight that dividends are far less volatile than earnings.

He added: “Investors can therefore look forward to dividend growth of around 4-5 per cent in 2019 and another record year for dividend payments.”