Strategic report Governance Financial statements Other information SECTION 3: EQUITY NOTES TO THE GROUP FINANCIAL STATEMENTS CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 3.1 Share capital 3.2 Dividends Year ended Year ended Dividend recognition 30 June 2021 30 June 2020 £m £m Dividend distributions to the Company’s shareholders are recognised in the accounting period in Authorised: 525,000,000 (2019: 525,000,000) ordinary shares of 0.4p each 2.1 2.1 which the dividends are declared and paid, or, if earlier, in the accounting period when the dividend Issued and fully paid: ordinary shares of 0.4p each 1.9 1.9 is approved by the Company’s shareholders at the Annual General Meeting. Shares Shares Issued and fully paid: number of ordinary shares of 0.4p each 474,318,625 474,318,625 Amounts recognised as distributions to equity holders in the year: The Company has one class of ordinary shares which carry no right to fixed income. Year ended Year ended 30 June 2021 30 June 2020 The shares held by the EBT reserve represents the cost of shares in Hargreaves Lansdown plc £m £m purchased in the market and held by the Hargreaves Lansdown EBT to satisfy options under the 2020 final dividend of 26.3p (2019 second interim dividend: 23.4p) per share 124.7 110.9 2020 special dividend of 17.4p (2019: 8.3p) per share 82.4 39.3 Group’s share option schemes. 2021 interim dividend of 11.9p (2020: 11.2p) per share 56.4 53.1 The EBT reserve represents the cumulative gain on disposal of investments held by the HL EBT. Total dividends paid during the year 263.5 203.3 The reserve is not distributable by the Company as the assets and liabilities of the EBT are subject to management by the Trustees in accordance with the EBT trust deed. After the end of the reporting period, the Directors declared a final ordinary dividend of 26.6 pence Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from per share and a special dividend of 12.0 pence per share payable on 20 October 2021 to shareholders the Group’s equity therein. on the register on 24 September 2021. Dividends are required to be recognised in the financial statements when paid, and accordingly the declared dividend amounts are not recognised in these Non-controlling interests consist of the minority’s proportion of the net fair value of the assets and financial statements, but will be included in the 2021 financial statements as follows: liabilities acquired at the date of the original business combination and the non-controlling interest’s change in equity since that date. The non-controlling interest represents a 7.5% shareholding in £m Hargreaves Lansdown Savings Limited, which is a subsidiary of the Company. 2021 final dividend of 26.6p (2020 final dividend: 26.3p) per share 126.0 2021 special dividend of 12.0p (2020 special dividend: 17.4p) per share 56.9 Total dividends 182.9 Under an arrangement dated 30 June 1997, the Hargreaves Lansdown Employee Benefit Trust, which held the following number of ordinary shares in Hargreaves Lansdown plc at the date shown, has agreed to waive all dividends. Year ended Year ended 30 June 2021 30 June 2020 No. of shares No. of shares Number of shares held by the Hargreaves Lansdown Employee Benefit Trust 482,008 571,856 Representing % of called-up share capital 0.10% 0.12% 160 Hargreaves Lansdown Report and Financial Statements 2021