FTSE 100 dividend forecast slips – should you buy UK equities?

Analysts have slightly adjusted their dividend expectations for the FTSE 100, now forecasting a payout of £78.5 billion in 2024 compared to the previous estimate of £79.7 billion. Despite minimal growth in dividends this year, the index still offers a dividend yield of around 3.6%, which increases to 6.5% when considering buybacks and takeovers. Looking ahead to 2025, analysts predict a 6.5% increase in dividends to £83.6 billion, with some concentration risk as 10 companies are expected to pay out over half of total FTSE 100 dividends. Investors are advised to weigh the income opportunities of UK equities against the potential for greater growth in global markets.

Full Article