How to set up dividend reinvestment

Our dividend reinvestment service lets you automatically reinvest any dividends you receive back into the company that paid them. Instead of keeping the dividend as cash, the dividend is automatically used to buy more shares in that company. You can pick and choose which of your shares you'd like the dividend reinvestment service to apply to. Or you can apply it to all shares you hold now and any eligible shares you buy in the future. Eligible shares include UK-listed shares quoted in sterling, but not any international shares, funds or fixed income investments. The charge for each dividend reinvested is 1%, with a minimum charge of £1.50 and a maximum of £5.00.

To set up dividend reinvestment, simply log in to your account and from the ‘My account’ menu, select ‘Dividend reinvestment’. First, select which account you’d like to set up dividend reinvestment on. You need to set it up on each account – so even if you held the same investment in both a SIPP and an ISA, you’d need to set up dividend reinvestment on each one.

Then, tick the box for each investment you’d like to set up dividend reinvestment for. The status “Dividend reinvested” will show on those you’ve chosen. You can choose to reinvest all eligible dividends by ticking “Select all”, and clicking confirm.

You can also set up and amend dividend reinvestment by visiting your portfolio. Just click the grey ‘D’ icon next to the investment you’d like dividends reinvested for. The ‘D’ icon will only show for eligible investments.

Once you've set up the dividend reinvestment service, we'll take it from there.

Keep in mind that for a dividend to be reinvested, your account must hold at least one share in the company you've chosen to reinvest dividends for. We'll buy as many shares as possible with the dividend, and pay any leftover cash into your account. Dividends will be reinvested on the second working day after the dividend is paid into your account. That means if you want your dividend to be reinvested, you’ll need to set it up by close of business the day after your dividend is paid.

Once your dividend has been reinvested, we’ll send you a secure message letting you know the contract note is available. If you have any questions when setting up dividend reinvestment, just get in touch on 0345 37 33 479. Our Dealing Services team will be happy to help.