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Rising risk of National Grid dividend cut

As Ofgem moves closer to drastically reducing allowed UK returns in the next regulatory period, the energy transmission and distribution group is hoping US growth and its interconnectors business can offset earnings pressure
July 11, 2019

Utility companies such as National Grid (NG.) have long been a haven for income investors. Perhaps not the most exciting proposition, but a stable and growing dividend has been underpinned by the predictability of the group’s regulated monopoly position. The enduring challenge is how to balance the high capital investment required to maintain and grow the asset base with the generous dividend payments now expected by shareholders

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