3 Premier UK Dividend Stocks Yielding Up To 9%

Simply Wall St

Amidst the backdrop of a faltering FTSE 100, influenced by weak trade data from China and declining commodity prices, investors are increasingly seeking stability in dividend stocks. In such uncertain times, these stocks can offer a reliable income stream and potential for long-term growth, making them an attractive option for those looking to navigate the current market volatility.

Top 10 Dividend Stocks In The United Kingdom

NameDividend YieldDividend Rating
WPP (LSE:WPP)6.53%★★★★★★
Man Group (LSE:EMG)6.39%★★★★★☆
Keller Group (LSE:KLR)3.54%★★★★★☆
4imprint Group (LSE:FOUR)4.70%★★★★★☆
Grafton Group (LSE:GFTU)4.25%★★★★★☆
DCC (LSE:DCC)3.83%★★★★★☆
Big Yellow Group (LSE:BYG)4.91%★★★★★☆
OSB Group (LSE:OSB)7.76%★★★★★☆
NWF Group (AIM:NWF)4.76%★★★★★☆
James Latham (AIM:LTHM)6.97%★★★★★☆

Click here to see the full list of 56 stocks from our Top UK Dividend Stocks screener.

Let's uncover some gems from our specialized screener.

Vertu Motors (AIM:VTU)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Vertu Motors plc operates as an automotive retailer in the United Kingdom with a market cap of £168.18 million.

Operations: Vertu Motors plc generates its revenue primarily from its operations as a retailer in the gasoline and auto dealership sector, with reported revenues of £4.79 billion.

Dividend Yield: 4.6%

Vertu Motors has a dividend payout ratio of 41.8%, indicating dividends are well covered by earnings, and a cash payout ratio of 17.3%, suggesting strong cash flow coverage. However, its dividend yield of 4.62% is lower than the top UK payers, and past payments have been volatile with instances of significant drops. Recent buyback announcements indicate strategic capital management but do not necessarily imply stable or growing dividends in the future.

AIM:VTU Dividend History as at Mar 2025

City of London Investment Group (LSE:CLIG)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: City of London Investment Group PLC is a publicly owned investment manager with a market cap of £169.53 million.

Operations: City of London Investment Group PLC generates revenue of $72.64 million from its asset management segment.

Dividend Yield: 9%

City of London Investment Group offers a high dividend yield of 9.02%, placing it among the top UK payers, but its dividends are not well covered by earnings due to a 111.6% payout ratio, although cash flow coverage is better at 84.3%. Despite recent growth in earnings and revenue, dividends have been historically volatile and unreliable over the past decade. The interim dividend was maintained at £0.11 per share for April 2025 distribution.

LSE:CLIG Dividend History as at Mar 2025

Whitbread (LSE:WTB)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Whitbread plc operates hotels and restaurants in the United Kingdom, Germany, and internationally, with a market cap of £4.39 billion.

Operations: Whitbread plc generates revenue of £2.96 billion from its Accommodation, Food and Beverage segments.

Dividend Yield: 4%

Whitbread's dividend payments are covered by earnings and cash flows, with a payout ratio of 77.1% and cash payout ratio of 62.3%. However, its dividend yield of 3.97% is lower than the top UK payers, and the track record has been unstable over the past decade despite growth in payments. Recent profit margins have declined to 8.1% from last year's 11.9%, although future earnings growth is anticipated at a rate of 14.72%.

LSE:WTB Dividend History as at Mar 2025

Make It Happen

Curious About Other Options?

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Valuation is complex, but we're here to simplify it.

Discover if Vertu Motors might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

Access Free Analysis

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com