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The United Kingdom's stock market has recently faced challenges, with the FTSE 100 index experiencing a dip due to weak trade data from China, highlighting the interconnectedness of global economies. In such volatile times, dividend stocks can offer a measure of stability and income for investors, making them an attractive option amidst fluctuating market conditions.
Top 10 Dividend Stocks In The United Kingdom
Name | Dividend Yield | Dividend Rating |
Keller Group (LSE:KLR) | 3.54% | ★★★★★☆ |
Dunelm Group (LSE:DNLM) | 8.01% | ★★★★★☆ |
OSB Group (LSE:OSB) | 7.58% | ★★★★★☆ |
Man Group (LSE:EMG) | 5.87% | ★★★★★☆ |
Epwin Group (AIM:EPWN) | 5.76% | ★★★★★☆ |
DCC (LSE:DCC) | 3.72% | ★★★★★☆ |
Big Yellow Group (LSE:BYG) | 4.78% | ★★★★★☆ |
NWF Group (AIM:NWF) | 4.76% | ★★★★★☆ |
Grafton Group (LSE:GFTU) | 4.27% | ★★★★★☆ |
James Latham (AIM:LTHM) | 7.21% | ★★★★★☆ |
Click here to see the full list of 59 stocks from our Top UK Dividend Stocks screener.
We'll examine a selection from our screener results.
City of London Investment Group
Simply Wall St Dividend Rating: ★★★★★☆
Overview: City of London Investment Group PLC is a publicly owned investment manager with a market cap of £175.86 million.
Operations: City of London Investment Group PLC generates its revenue through investment management services.
Dividend Yield: 8.8%
City of London Investment Group offers a compelling dividend yield at 8.79%, ranking in the UK's top quartile, though its dividend history is volatile, with payments sometimes unstable over the past decade. Despite this, recent earnings growth and a payout ratio of 74.5% suggest dividends are currently sustainable. The company trades below its estimated fair value and has affirmed an interim dividend of £0.11 per share, maintaining last year's level despite profit increases to US$9.29 million for H1 2024-2025.
Greggs
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Greggs plc is a UK-based food-on-the-go retailer with a market cap of £2.12 billion.
Operations: Greggs plc generates revenue from two main segments: Business to Business (B2B) at £219.90 million and Retail Company Managed Shops at £1.71 billion.
Dividend Yield: 3.1%
Greggs trades at a 19.1% discount to its estimated fair value, offering potential value for investors. Its dividend payout is sustainable, with a payout ratio of 48% and cash coverage at 44.3%, though the yield of 3.12% is below top-tier UK payers. Despite volatile dividends over the past decade, payments have grown in the long term, supported by recent earnings growth of 2.1%.