Barclays must reinstate dividends now

Ahead of Barclays trading update on Thursday 7 May, David Kuo, Director at the financial website The Motley Fool - Fool.co.uk, comments: "Barclays should not point to its rising share price to placate long-suffering investors. Whilst the shares have appreciated almost 500% from its low of 51.5% on 21 January 2009, this will come as small comfort to private shareholders who were shunned in the bank's £7 billion capital raising venture last year.

"Dividends represent real cash in the pockets of shareholders, and the paying of regular dividends is a discipline that Barclays must re-adopt quickly.

"Barclays has indicated that it intends to make a cash payment in the fourth quarter of 2009 and a final cash dividend to be declared and paid in the first quarter of 2010. This is welcome news for private investors, but bringing forward the payout would be even better news."