Dividend - frequently asked questions
A dividend is an amount based on a company’s profits paid out to shareholders for each share they hold.
Ordinary dividends are usually paid in May and September each year. Up until 2018, Interim dividends were paid in November each year.
Aviva will only pay cash dividends directly into a nominated bank account. This provides shareholders with the following benefits:
- Fast, secure and reduced environmental impact of paying dividends – in the past we sent out over 200,000 cheques each dividend.
- No more fees for the replacement of lost cheques.
For information on setting up your payment instruction, please visit Shareholder contacts.
The Company offers a Dividend Reinvestment Plan. The plan provides an option for eligible shareholders to purchase additional ordinary shares in the Company using their cash dividends. You can either join online or by completing a form that you can obtain from the Company's Registrar, Computershare.
Full details can be found in the Plan explanatory booklet and terms and conditions.
Please note, this service is not appropriate for shareholders living in certain jurisdictions, for example North America. Please see clause 2.1 of the terms and conditions for more information.
With effect from 6th April 2016 the 10% tax credit on dividends has been replaced with an individual annual tax free allowance of £5,000 across all dividend income, above which there is a tax liability. For the 2018/2019 tax year, this allowance has reduced to £2,000. For further information, please visit the HMRC.gov.uk website or view this publication released by HMRC. For queries about your own tax position, please speak to an independent tax advisor.
Shareholders will receive one annual dividend confirmation giving details of their total dividends for the previous tax year. This is usually sent with the AGM mailing in March/April each year.
Providing one annual dividend confirmation ensures that you receive a complete record of the dividends you have received on your shares in time for completing your tax return.
Shareholders who wish to receive their dividends in a currency other than Pound Sterling can elect to receive their dividends in Euros, free of charge, directly into a nominated Euro bank account in the Single Euro Payments Area (SEPA).
Simply complete an online instruction (details here), or contact Computershare. Alternatively shareholders may receive their dividend in over 125 international currencies using the Global Payment Service (fees apply).
As a holder of preference shares you are entitled to a fixed dividend in priority to any dividend in respect of the ordinary shares. The rate is fixed depending upon the issue. There are two types of preference shares, 8 ¾% and 8 ⅜%. This means that the dividend payment is fixed at the rate of 8 ¾ pence and 8 ⅜ pence respectively each year for every £1 share held.
General Accident plc
As a holder of preference shares you are entitled to a fixed dividend in priority to any dividend in respect of the ordinary shares. The rate is fixed depending upon the issue. There are two types of preference shares, 8 ⅞% and 7 ⅞%. This means that the dividend payment is fixed at the rate of 8 ⅞ pence and 7 ⅞ pence respectively each year for every £1 share held.
The dividend for the 8 ¾% preference shares is payable in equal half-yearly instalments in arrears on 30 June and 31 December each year. The dividend for the 8 ⅜% preference shares is payable in equal half-yearly instalments in arrears on 31 March and 30 September each year.
General Accident plc
The dividend for the 8 ⅞% preference shares is payable in equal half-yearly instalments in arrears on 1 January and 1 July each year. The dividend for the 7 ⅞% preference shares is payable in equal half-yearly instalments in arrears on 1 April and 1 October each year
All Aviva plc and General Accident plc preference dividends are paid directly into a nominated bank account. Shareholder should ensure they have registered bank details with our Registrar, Computershare, in order to receive their dividends.
American depository receipt holders
Aviva generally pays any dividend twice a year following the announcement of the Company’s full year and half year results. Citibank will provide further information as it is made available to ADR holders.
Aviva plc ADR dividends are paid in US dollars. There is no withholding tax for UK based ADRs. You should always consult with your tax advisor regarding tax treatment and tax reporting. Please note that your tax identification number at Cititbank must be tax certified. This can be done by completing and submitting a W-9 form to Citibank which can be obtained by contacting Citibank Shareholder Services .
An ADR statement detailing your total ADR holding will be sent to you as activity occurs. Examples of activity to your account will include share purchases or sales via the International Direct Investment Programme or Direct Registration System (DRS) programmes for Aviva plc. Please note dividend cheque payments do not generate account statements.