According to various sources, UK citizens typically have an average of £300 a month left over after rent and expenses. If this money were saved up, it would result in a chunky £3,600 to invest in UK shares at the end of the year.
That’s a decent starting point. But it could go even further if invested in a portfolio of high-yielding dividend stocks.
So what would a portfolio of those kinds of stocks look like?
10 UK dividend stocks targeting a 7% average yield
With the right selection of stocks, it’s realistic for an investor to target an average yield of 7%. But not all dividend-paying companies are reliable so it’s risky to just pick the top-10 yielders.
Take the following list, for example:
| Company | Yield (%) | Sector |
|---|---|---|
| ITV (LSE: ITV) | 7.2% | Media/Broadcasting |
| Standard Life | 8% | Life Insurance |
| M&G | 7.8% | Asset Management |
| HSBC | 7.% | Banking |
| British American Tobacco | 5.8% | Tobacco |
| Harbour Energy | 7.% | Energy |
| MONY Group | 7.1% | Financial Services |
| Taylor Wimpey | 7.5% | Housebuilding |
| Barratt Redrow | 6.9% | Housebuilding |
| BP | 5.7% | Energy |
Splitting an investment of £3,600 equally among these shares would net £252 in dividend income a year. That won’t pay the mortgage, but it’s a useful extra bill covered, and it can snowball if you reinvest the cash.
After 10 years, the annual income could double to over £500 (if the average yield held).
Is ITV a good addition to this list?
Right now, ITV is in the spotlight thanks to the expanded 2026 men’s World Cup. ITV and the BBC share UK rights, with ITV showing 51 live games, including some key England fixtures.
That’s a huge shop window for advertisers. The company expects total advertising revenue (TAR) to be up around 10% in Q2 2026, with a particularly strong July driven by World Cup demand.
On the numbers, ITV looks interesting for income investors. The shares trade on a forward price-to-earnings (P/E) of roughly 9.5, which is cheaper than the wider market. But analysts’ consensus target price sits only slightly above today’s price, at about 82.6p, so the main attraction here is income rather than capital gain.
Recent dividend data shows a forward yield of 7.2% based on price forecasts. However, growth has been stagnant over the past three years, with the annual full-year dividend remaining consistently at 5p per share.
Some of that may be down to stiff competition in the broadcaster world. ITV is fighting hard for attention in a world where many younger viewers now open Netflix or YouTube before they even think about live TV.
Bringing it all together
For me, a 7% yield target is realistic, but only if you’re picky. The FTSE 100 as an index yields closer to 3%–3.5%, so most of the ‘safer’ large caps sit in the 3%–5% range, with only a subset reaching 6% or more.
That’s why I’d mix sturdy blue chips with a few higher‑yield names to pull the average up, while keeping position sizes modest.
ITV, with its trusted brand, football exposure, and above‑index yield, is certainly worth a look as part of that mix. Despite competition from streaming services, live sports remains a key revenue driver for major broadcasters.
Should you invest £5,000 in ITV right now?
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And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if ITV made the list?
Mark Hartley owns shares in ITV, Standard Life, HSBC, British American Tobacco, MONY Group, Taylor Wimpey, and BP.
