Understanding my reinvestment options

This page explains dividend reinvestment, and the two types of reinvestment we support: Dividend Reinvestment Plans (DRIP) and SCRIP Dividend Schemes (SCRIP). It also describes the process for switching to one of these schemes.

What is Dividend Reinvestment?

Dividend reinvestment allows you to automatically use your dividend payments to purchase additional shares instead of receiving cash. This is a convenient, cost-effective way to grow your shareholding over time.

Key points to consider

Some companies may offer more than one reinvestment option, but usually only provide one option per dividend payment.
The reinvestment options available can change or be suspended at any time by the company.
If a reinvestment option is not used for a specific dividend, your election will remain on record and will apply to future dividends where the option is available.

Important information for CREST Holders:

If you hold shares in CREST and want to reinvest dividends, you must follow the CREST Elections Process. Please contact your CREST sponsor for guidance on how to make this request.

How can I apply?

Apply or change your dividend elections via Shareview Portfolio.

About Dividend Reinvestment Plans (DRIP)

The Dividend Reinvestment Plan (DRIP) is provided by Equiniti Financial Services Limited (Equiniti FS) and offers a convenient, cost-effective way to grow your shareholding. Instead of receiving cash dividends by cheque or bank transfer, your dividend payments are used to purchase additional shares on your behalf in the market.

Whole shares are purchased using your dividend payment.
Any residual cash (leftover funds that are not enough to purchase a full share) is carried forward and added to the next dividend.
If your dividend (after dealing costs) is not enough to buy a single share, no charges are applied, and the dividend is carried forward.

When you elect to receive shares by reinvestment you will be sent;

A DRIP purchase statement
A share certificate (if applicable - please note if you are a CREST participant or hold your shares in a Corporate Sponsored Nominee, you will not receive a share certificate.)
A tax voucher

About the SCRIP Dividend Scheme (SCRIP)

The SCRIP Dividend Scheme (SCRIP) is offered by participating companies and allows shareholders to receive newly issued shares instead of a cash dividend. This means you can increase your shareholding without receiving a dividend cheque or a direct bank payment.

You will receive newly issued company shares equivalent to the cash value of your dividend.
Whole shares are issued, and any residual cash (remaining dividend funds that are not enough to receive a full share) is carried forward and added to your next dividend.
If your dividend amount is not enough to receive a single share, the cash value is carried forward. (If you leave the SCRIP, any remaining cash balance will be paid to you in accordance with the Terms and Conditions).
Since these shares are newly issued, there are no dealing charges or stamp duty to pay.

When you elect to receive shares by reinvestment you will be sent;

A SCRIP dividend statement
A share certificate (if applicable - please note if you are a CREST participant or hold your shares in a Corporate Sponsored Nominee, you will not receive a share certificate.)
A tax voucher

Cancellation

If your election is cancelled/revoked, any existing instruction you’ve given us - to pay your cash dividends to a bank, building society or third party - will then be re-applied as default. If you think that we currently hold out-of-date bank/building society details for any of your shareholdings, please see our mandate page.

Arrange direct dividend payments

If you currently have a DRIP or Scrip election applied to a shareholding and would like to cancel this to receive your dividends as a cash payment, please log in to your Shareview portfolio. Select ‘My Investments’, click ‘View Shares’ and then ‘Dividend Election’ to choose how you would like to receive your dividends.

Alternatively, you can call the Shareholder Helpline or write to us. Please include your 11-digit Shareholder Reference in any communication.

Make sure your choice is submitted before the record date for the next dividend you want paid in cash.

My Dividends

Fees and Charges

The applicable fees for the reinvestment option chosen can be found in the participating company's Terms and Conditions.

Useful documents

Need more help?

For further help and guidance please see our help pages.

More help

Understand the risks

The price and value of any investments and any income from them can fluctuate and may fall. Therefore, you may get back less than the amount you invested. Past performance is not a guide to future performance.

We do not provide advice or make recommendations about investments. If you have any doubts about the suitability of an investment, you should seek advice from a suitably qualified professional advisor.