Bank of Ireland shares rise on dividend pledge

A commitment to resume paying a delayed dividend, and a reassurance over how its key operations in Britain will weather Brexit, helped boost the shares of Bank of Ireland.

Analysts hailed the lender’s progress and its plan to set aside €70m — equivalent to a fifth of its first-half net profits — as it bolsters its pledge to resume a dividend payout early next year based on full-year profits for 2017.

The bank — which is 14% owned by the Government —had in the past cited the uncertainty of Brexit for it putting the brakes on making its first post-crisis payment to shareholders at a time when rival AIB had resumed paying a dividend as part of the Government’s preparations to sell a significant stake in AIB.