Hopes of a Lloyds dividend were increased today as the bank revealed that it would apply to pay out dividends in the second half of this year. The banking group unveiled a quarterly underlying profit of £1.8bn, representing a 22pc increase.
The city responded well to the latest update from Lloyds as its share price topped the list of FTSE 100 risers with a 5.49pc gain to end the day at 79.50p.
A Lloyds dividend was previously expected by investors, but suffered a delay as the bank was struck by further mis-selling costs.
However, investors have today shown great belief in Lloyds continued road to recovery and news of a dividend boosted sentiment.