10 UK Stocks with the Highest Dividends

8. Diageo plc (NYSE:DEO)

Dividend Yield: 4.13%

Number of Hedge Fund Holders: 35

Diageo PLC (NYSE:DEO) is one of the UK’s highest-dividend stocks. The company has maintained a long-standing track record of paying dividends for over three decades, with a quarterly dividend of $0.83 a share and a dividend yield of about 4.13%.

On June 5, Diageo PLC (NYSE:DEO)’s Indian business unit, United Spirits, announced plans to close a manufacturing unit in Venkateshwara Nagara, India, by the end of August. It builds on United Spirits’ shutdown of the Hyderabad manufacturing unit in Nacharam last year.

The facility the company is closing generated $63.1 million in revenues in the financial year 2025 to 2026, accounting for 2% of the company’s revenue. The shutdown is part of a broader multiyear supply chain agility program approved in 2023. It is also in response to rising operational costs and changing market dynamics.

Similarly, United Spirits has reached an agreement to sell a production site in the eastern state of Odisha to local business Cupid Breweries & Distilleries. The sale comes as the Diageo unit continues to reshape its manufacturing network in India.

Diageo plc (NYSE:DEO) is a British multinational company that manufactures, distributes, and markets a massive global portfolio of premium alcoholic beverages, including spirits, beer, and non-alcoholic alternatives. The company’s operations encompass global distilling, brewing, and packaging to serve markets in over 180 countries.

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