But if the changed regulatory environment has diminished the risks of a banking crisis, surely a slowdown in economic activity means that the dividend potential of the companies is weakened.

Star investor: Why I'm still buying Lloyds Bank shares

Why Lloyds Banking Group shares are a buy right now, by manager with a 6 per cent yield. There may not be special dividends now, but the regular dividends should be OK, and the share prices have fallen, which means the attractiveness of the dividends they do pay has gone up.

Lloyds is the fifth largest investment in the Old Mutual UK Equity Income fund.

Lloyds Banking Group | The Motley Fool UK

I was worried about valuations of the house builders before this happened. The UK housing market has been in a bull market for a long time now. In contrast he is finding value in UK companies that have international earnings. So a weak sterling against the dollar increases the value of those earnings and dividends for a UK investor.

This also applies to the big pharmaceutical companies, Astra Zeneca and Glaxosmithkline, in which he is also invested. The yield on the Old Mutual UK Equity Income fund is 4.

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Looking for income? Bank shares are set to become the new 'utilities' - Telegraph

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INVESTMENT EXTRA: Are Lloyds shares a good bet? | This is Money

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