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As the FTSE 100 and FTSE 250 indices experience downward pressure due to weak trade data from China, investors in the UK market are closely monitoring global economic cues. In such uncertain times, dividend stocks can offer a measure of stability by providing regular income streams, making them an attractive option for those looking to navigate volatile market conditions.
Top 10 Dividend Stocks In The United Kingdom
| Name | Dividend Yield | Dividend Rating |
| WPP (LSE:WPP) | 6.45% | ★★★★★★ |
| Man Group (LSE:EMG) | 7.29% | ★★★★★☆ |
| 4imprint Group (LSE:FOUR) | 5.01% | ★★★★★☆ |
| Keller Group (LSE:KLR) | 3.22% | ★★★★★☆ |
| Treatt (LSE:TET) | 3.20% | ★★★★★☆ |
| DCC (LSE:DCC) | 4.21% | ★★★★★☆ |
| OSB Group (LSE:OSB) | 7.10% | ★★★★★☆ |
| NWF Group (AIM:NWF) | 4.79% | ★★★★★☆ |
| Big Yellow Group (LSE:BYG) | 4.58% | ★★★★★☆ |
| James Latham (AIM:LTHM) | 7.08% | ★★★★★☆ |
Click here to see the full list of 58 stocks from our Top UK Dividend Stocks screener.
Let's take a closer look at a couple of our picks from the screened companies.
Hargreaves Services
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Hargreaves Services Plc offers environmental and industrial services across the United Kingdom, Europe, Hong Kong, and internationally with a market cap of £207.25 million.
Operations: Hargreaves Services Plc generates revenue primarily from its Services segment, amounting to £219.11 million, and Hargreaves Land segment, contributing £10.54 million.
Dividend Yield: 5.9%
Hargreaves Services has shown earnings growth of 15% over the past year, but its dividend payments are not well covered by cash flows, with a high cash payout ratio of 108.7%. Despite an attractive dividend yield of 5.89%, placing it in the top 25% in the UK market, dividends have been volatile and unreliable over the past decade. The current payout ratio is sustainable at 81%, though one-off items affect earnings quality.
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Get an in-depth perspective on Hargreaves Services' performance by reading our dividend report here.
Lloyds Banking Group
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Lloyds Banking Group plc, with a market cap of £43.77 billion, offers a variety of banking and financial products and services in the United Kingdom and internationally through its subsidiaries.
Operations: Lloyds Banking Group generates its revenue through diverse banking and financial services offered both domestically in the United Kingdom and internationally.
Dividend Yield: 4.3%
Lloyds Banking Group's dividend yield of 4.32% is lower than the UK's top payers, but dividends are covered by earnings with a payout ratio of 50.6%. The company has increased dividends over the past decade, though payments have been volatile and unreliable. Recent initiatives include a £300 million share buyback and strategic AI advancements with Google Cloud to enhance services, potentially impacting future profitability and dividend stability.