In this article, we will list the 5 UK Stocks with the Highest Dividends. Please visit 10 UK Stocks with the Highest Dividends if you would like to see the extended list and the methodology behind it.
5. WPP Plc (NYSE:WPP)
Dividend Yield: 5.30%
Number of Hedge Fund Holders: 9
WPP Plc (NYSE:WPP) is one of the UK stocks with the highest dividends. The company has been paying dividends for over three decades. Currently, it pays a quarterly dividend of about $0.25 a share, translating to a dividend yield of about 5.57%.
On June 9, Berenberg initiated coverage of WPP Plc (NYSE:WPP) with a Buy rating and a £405 price target. The research firm remains bullish on the stock despite the company losing ground in advertising to companies that pushed harder into data technology and other centralized models. Consequently, the company has experienced sales declines, pressured profitability, and a lower market cap.
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Nevertheless, Berenberg expects the new management team to turn around WPP Plc’s fortunes by delivering on a simplification process. Wells Fargo expects WPP Plc to return to positive organic sales growth and margin expansion from 2028.
The bounce back would come as the company boasts of global scale, heritage, blue-chip clients, and the ability to deliver integrated brands. Wells Fargo also expects WPP Plc to achieve dividend yields of between 7% and 10% on the back of free cash flow yields of between 12% and 22% between 2027 and 2028.
WPP Plc (NYSE:WPP) is a global creative transformation company. It acts as the parent organization for a vast network of advertising, media, public relations, and data-driven marketing agencies. The company helps massive global brands design advertising campaigns, buy ad space, and manage their public image across 110,000+ employees globally.
4. British American Tobacco plc (NYSE:BTI)
Dividend Yield: 5.37%
Number of Hedge Fund Holders: 41
British American Tobacco plc (NYSE:BTI) is one of the UK’s highest-dividend stocks. British American Tobacco plc (NYSE:BTI) has paid dividends for over two decades and currently pays a quarterly dividend of about $0.82 a share with a forward dividend yield of 5.67%. Early in the year, it increased its quarterly dividend by 2% to 245.04p. The company has also affirmed its commitment to delivering sustainable shareholder value through robust cash returns.
Earlier on June 2, Chief Executive Officer Tadeu Marrocco reiterated that British American Tobacco is on course to deliver its full-year guidance, driven by US delivery and new category momentum. The company is projecting 3% to 5% revenue growth and 4% to 6% adjusted profit from operations growth. Adjusted earnings per share are expected to grow by between 5% and 8%.
British American Tobacco is also optimistic about delivering operating cash flow conversion in excess of 95% in 2026. The impressive financial position would be driven by accelerating new-category performance, underpinned by global share gains for Velo and Vuse.
British American Tobacco plc (NYSE:BTI) is a leading, multi-category consumer goods business that operates internationally. Their core business ranges from agricultural activities like growing tobacco leaf to the manufacturing, distribution, and global sale of traditional cigarettes and potentially reduced-risk smokeless nicotine products.
3. Nomad Foods Limited (NYSE:NOMD)
Dividend Yield: 6.59%
Number of Hedge Fund Holders: 37
Nomad Foods Limited (NYSE:NOMD) is one of the UK’s highest-dividend stocks. The company has consistently paid dividends for the past three years, with a quarterly dividend of about $0.17 a share, translating to a dividend yield of about 6.59%.
On June 2, Nomad Foods (NYSE:NOMD) announced a £2.2m investment in a new potato waffle production line. The investment at the company’s Lowestoft factory in the UK aligns with the company’s broader long-term productivity program announced last year. The program seeks to increase efficiency and scale across the entire manufacturing network.
The £2.2 million investment will increase total waffle capacity to about 18,250 tonnes annually, equivalent to about 45 million potato waffles. Nomad Foods is also eyeing a £12 million outlay in chicken processing and development of an on-site wind turbine to secure long-term, predictable energy.
The investments underscore Nomad Foods’ commitment to expanding access to frozen food categories, such as fish, vegetables, chicken, and potatoes, amid increasing pressure on global food systems.
Nomad Foods Limited (NYSE:NOMD) is Europe’s largest frozen food company. It manufactures, markets, and distributes a diverse portfolio of branded frozen foods—including fish, vegetables, ready meals, poultry, and pizza—across 22 European markets.
2. LyondellBasell Industries (NYSE:LYB)
Dividend Yield: 6.86%
Number of Hedge Fund Holders: 59
LyondellBasell Industries (NYSE:LYB) is one of the UK’s highest-dividend stocks. The company pays a quarterly dividend of $0.69 per share, translating to a dividend yield of about 6.86%. On May 22, LyondellBasell Industries (NYSE:LYB) declared a $0.69-per-share dividend, paid on June 8.
On May 28, Wells Fargo upgraded the stock to Overweight from Equal Weight and raised the price target to $98 from $80. The stock is currently trading at $58.25. The upgrade and price target hike are in response to expectations that the company is well-positioned to benefit from higher polyethylene prices. The prices have increased by $0.30 a pound since the US-Iran war started.
Wells Fargo expects the higher Polyethylene prices to trigger another round of upward earnings revisions as the company continues to capitalize on exports. Over the past few years, LyondellBasell has exported 30% to 40% of its US Gulf Coast supply. The research firm expects the company to maximize exports and capitalize on higher export margins.
LyondellBasell Industries (NYSE:LYB) is a major multinational chemical and refining company. It specializes in producing polymers (plastics), petrochemicals, and refined fuels. Its materials serve as the essential raw building blocks for a vast array of everyday consumer and industrial goods, including food packaging, automotive components, and medical devices.
1. Brightstar Lottery PLC (NYSE:BRSL)
Dividend Yield: 7.95%
Number of Hedge Fund Holders: 29
Brightstar Lottery PLC (NYSE:BRSL) is one of the UK’s highest dividend stocks. While Brightstar Lottery PLC (NYSE:BRSL) has paid dividends for over 10 years, it boasts a quarterly dividend of $0.23 a share with a dividend yield of about 8.24%.
Meanwhile, on June 11, Brightstar Lottery PLC (NYSE:BRSL) announced leadership changes, with CEO Renato Ascoli stepping down from his role as head of Global Lottery effective June 30, 2026. After two decades in senior positions across global markets, Ascoli leaves behind a legacy of innovation and growth in the lottery industry.
Effective July 1, Marco Tasso will be promoted to Executive Vice President and Chief Operating Officer of Global Lottery. Tasso, currently COO of International and Italy Operations, brings over 20 years of experience in both B2C and B2B segments. In his new role, he will oversee global lottery operations, including technology, product development, marketing, sales, supply chain, and customer support, reporting directly to CEO Vince Sadusky.
Brightstar’s board praised Ascoli’s contributions, while highlighting Tasso’s track record at Northstar Lottery Group and leadership roles at Lottomatica. With nearly 90 lottery customers across six continents and technology services supporting major U.S. and global lotteries, Brightstar remains a leading player in the industry.
Brightstar Lottery PLC (NYSE:BRSL) is a global, pure-play lottery company. It operates and provides secure technology, retail systems, and digital iLottery platforms to governments and regulators across six continents.
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