In the news

In the news – we examine rising UK dividend payouts, increasing investment scams and millions earning minimal interest

August 11, 2026 • 2 minute read

General Financial
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UK dividend growth has strengthened, supporting improved income prospects for long-term investors and diversified portfoliosInvestment scams are becoming more sophisticated, making vigilance and financial advice increasingly importantMany savers remain in low-interest accounts, potentially reducing wealth through inflation and missed opportunities

UK dividends show signs of recovery

UK dividend payouts made a stronger-than-expected start to 2026, with companies distributing £16.4bn during the first quarter – up 21.1% year-on-year1. The increase was boosted by a rise in special dividends, while regular payouts also exceeded forecasts, and steadier underlying growth. Mid-cap firms outperformed many larger companies. Analysts have since upgraded full-year dividend forecasts and projected UK equity yields of 3.5%.

Investment scams continue to rise

Investment scams are continuing to rise as fraudsters use increasingly sophisticated tactics to target savers and investors online. Last year, over 34,000 people reported investment fraud, up 31% from the year before, with average losses of £25,612 – encompassing people’s pension pots and other long-term investments2. Experts say scammers are increasingly exploiting social media, messaging platforms and artificial intelligence to appear more convincing.

To protect yourself, the FCA recommend taking financial advice before making any big financial decisions.

Millions still earning minimal interest on savings

The number of savings balances earning 1% interest or less rose sharply in 2025, by 2,340%, an increase of over £67bn3, highlighting how many consumers have yet to move money into more competitive products. The trend has renewed focus on cash management as inflation continues to erode the real value of savings held in underperforming accounts.

1Computershare 2026, 2Data from the City of London Police 2026, 3Spring 2026

The value of investments can go down as well as up and you may not get back the full amount you invested. The past is not a guide to future performance and past performance may not necessarily be repeated.

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