Back in the days when the game was originally released, I stopped playing just because I couldn't hit shit. But that was more than ten years ago, and my understanding of English was quite poor, so I had no idea what I was buffing when I leveled my character.
Last week, I started this game again ( downloaded from gog.com ) and I built my characters up with equal strength and dexterity. I can confirm that it does improve - by a lot - your chances to hit.
Yes, you will still miss, but a lot less. Blood Dexterity also helps in that case.