Is the Lloyds Banking Group PLC’s dividend set for further growth?
The rate of growth in the Lloyds Banking Group PLC (LON:LLOY) (LLOY.L) dividend has been exceptionally high in recent years. Having recommenced dividends per share at 0.75p in 2014, the bank is expected to pay 3.6p per share in dividends in 2019. This is 150 basis points higher than the FTSE 100’s dividend yield, which means it is one of the highest-yielding large-cap shares around at the moment. That’s understandable in my view, since Lloyds generates almost all of its income from the UK. Therefore, if there is a period of disruption from Brexit, it could be impacted to a greater extent than some of its FTSE 100 industry peers.