Admiral pulls special dividend; sticks with final payout

Insurance group Admiral said it would suspend a special dividend of 20.7p a share but stick with its final 56.3p payout, citing a strong solvency position.

Regulators last month pressed companies to pull dividends to save cash to mitigate the impact of the coronavirus pandemic.

“The board will review the position in relation to the special dividend alongside the company’s half year results. It currently intends to pay this part of the final dividend later in the year unless there is a significant deterioration in the company’s financial position, trading or outlook,” the company said.

Admiral said it had “significant liquidity and a strong solvency position, well above its target level and regulatory thresholds”, but was “mindful of the call for heightened prudence from its regulators”.

Chief executive David Stevens confirmed he and his wife would donate any dividend revenue to their charitable foundation to fund support for charities “experiencing reduced income and increased needs during the Covid-19 crisis”.