But how big would an ISA need to be to start producing a second income of £125 a month? Okay, this might not be a small fortune. But I reckon it’s enough to provide a few treats and would be a nice addition to an individual’s salary or retirement. Let’s explore.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

A bit of maths

With a return of 3.1%, an ISA worth £48,387 would be needed to meet our income target of £125 a month, equivalent to £1,500 a year.

Why such a precise number? Well, this is the current (1 June) yield of the FTSE 100.

The UK’s second tier of listed companies does better. It’s yielding 3.65%.

However, not all stocks are created equal. Some pay much more generous dividends than the average. Others pay nothing at all.

Let’s take a closer look at the FTSE 100. Here, 23 stocks pay 4% or more. With this level of return, an ISA worth £37,500 would be needed to produce £125 a month.

At 5%, the ISA would have to be valued at £30,000. Of the UK’s largest listed companies, 13 have a historical yield of 5%+.

Better still, seven pay at least 6%. A £25,000 Stocks and Shares ISA returning 6% would meet our target. The average of these is 6.8%. With a return like this, to produce dividends of £1,500 a year, our investment pot would need to be worth £22,059.

The greater the passive income you can build, the freer you will become

Self-made millionaire investor Todd M Fleming

Is this realistic?

Of course, there can never be any guarantees when it comes to dividends.

Doing business is difficult. Indeed, there are all sorts of problems that need to be overcome. And there’s a myriad of issues that could affect a company’s earnings and its payout. Sometimes, there’s nothing that can be done. In these circumstances, companies will often batten down the hatches and weather the storm hoping for brighter skies to return soon.

That’s what happened to Land Securities Group (LSE:LAND) during the pandemic. Its portfolio of shopping centres understandably saw a huge drop in footfall and demand for its offices fell as more people started to work from home. This double whammy led to a cut in its dividend.

A resilient business

However, things are very different now. Its dividend has been gradually restored to 88.7% of its 2019 level. And it’s currently yielding 6.4%.

An investment of £23,438 in its shares would generate dividend income of £125 a month. Assuming no disasters, a 6.4% return would see an investor double their money in just over 11 years, from dividends alone. No guarantees, of course.

With its relatively high debt levels, the group remains vulnerable to interest rates staying higher for longer. Tenants going bust is another potential challenge.

However, the group has a high-quality portfolio and enjoys a 98% occupancy rate. Its loan-to-value doesn’t seem stretched and it wants to boost its rental yield by substituting some of its offices for residential properties.

Set alongside its excellent dividend track record, I think it’s an exciting passive income stock to consider.

Should you invest £5,000 in Land Securities Group Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Land Securities Group Plc made the list?

James Beard does not hold any positions in the companies mentioned.

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But how much does an investor actually need tucked away to generate, say, £999 a month in passive income?

The answer depends on the yield. Somebody targeting that amount would generate £11,988 a year in income. Here’s roughly what that would require:

4% yield – £299,700
5% yield – £239,700
6% yield – £199,800

Naturally, the higher the yield, the less capital required. That’s why many income investors hunt around the FTSE 100 for high-yielding dividend shares that can keep the cash flowing year after year. There’s plenty of choice too.

Could this FTSE 100 property stock deliver?

One income stock that’s sometimes overlooked is Land Securities Group (LSE: LAND), also known as Landsec. It owns offices, shopping centres and retail parks across the UK, generating rental income from tenants and capital growth from property sales.

Landsec’s structured as a real estate investment trust (REIT). These trusts escape corporation tax provided they distribute at least 90% of their property rental profits to shareholders. As a result, they often produce chunky yields.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice.

Today, Landsec yields a hefty 6.35%. That’s a sizeable income stream. But there are one or two issues I want to highlight first.

First, UK property has endured a grim few years. Working from home hit demand for offices, online shopping has hit retail destinations, and soaring interest and mortgage rates have smashed property shares generally.

So the Landsec share price is broadly flat over one year and down 12% over five years. That may frighten some investors.

Yet the business remains profitable. Full-year results (14 May) showed occupancy rates at a 20-year high. Landsec uses EPRA earnings as its primary underlying profit metric. Lately, they’ve been pretty static:

• 2025 – £377m
• 2024 – £374m
• 2023 – £371m
• 2022 – £393m
• 2021 – £342m

The shares trade on a price-to-earnings ratio of 12.4, which is pretty modest. Although given all the pressures facing commercial property, I might have expected them to look even cheaper.

What factors might spark a recovery?

If inflation continues to rise because of the Iran conflict, interest rates could stay elevated for longer. That’s bad news for property companies, which rely heavily on borrowing. I also worry that parts of the office market may never fully recover after the pandemic shift towards hybrid working.

But when rates do start falling, property shares could rebound sharply. Investors may simply need patience. In the meantime, that dividend income offers compensation for waiting.

For me, Landsec looks more attractive for income than growth. I’d personally want to balance it with FTSE 100 shares that offer stronger long-term share price momentum too. Still, investors building a diversified ISA portfolio may think it’s worth considering. And with all dividends sheltered from tax inside an ISA, it could be a great way to build that second income stream.

Check out other FTSE 100 income stocks first though, you might like them even more.

Should you invest £5,000 in Land Securities Group Plc right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Land Securities Group Plc made the list?

Harvey Jones does not hold any positions in the companies mentioned.

The post How much do you need in your ISA to bag a £999 monthly second income? appeared first on The Twelfth Magpie.

This year the full new State Pension is £12,547. Unfortunately, that’s below the income required for a basic ‘minimum’ lifestyle, according to the Retirement Living Standards survey.

That makes it essential to save under your own steam, and the Stocks and Shares ISA is a brilliant way to do it. A popular method of building wealth is to invest in a diversified spread of FTSE 100 stocks, which offer both share price growth and dividend income. And it’s all tax-free.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

How much money do you need?

So how much do you need in your ISA to generate £12,547? The answer depends on the yield on your divideds. The bigger the yield, the smaller the pot required, as this list shows.

• 4% – £313,675
• 5% – £250,940
• 6% – £209,117

Those sums may look daunting, but you may be surprised to see how much you can get by investing regular sums during your working lifetime.

Someone who tucked away £175 a month for 30 years would end up with £256,926, for example. This assumes their portfolio delivers an average total return of 8% a year. Stock markets can be volatile in the short term, but offer vastly superior returns to cash over the longer run.

Which income stocks should I consider?

Today, 27 FTSE 100 stocks yield 4% or more. A handful yield 7% or 8%, including Land Securities Group (LSE: LAND). Also known as Landsec, it manages a portfolio of offices, shopping centres and retail parks. This gives it a regular stream of rental income, plus growth from property disposals.

Landsec is structured as a real estate investment trust, or REIT. These are exempt from paying corporate tax so long as they pay 90% of their property rental profits to shareholders.

Today, it has a bumper trading yield of 7.11%. And like the State Pension, the income should rise over the years. Landsec has lifted its dividend every year this millennium apart from three. Two of those were during the financial crisis, the third in the pandemic. Over the last five years, dividends have increased at an impressive 8.8% a year.

Yet it’s been a bumpy time for the sector as the working from home trend hit demand for office space, while e-commerce and the cost-of-living crisis knocked retail footfall. The Landsec share price is down 18% over five years, and 4% over the last 12 months.

With the UK economy continuing to struggle, I’m not expecting an instant revival. But reflecting that, the shares look decent value with a trailing price-to-earnings ratio of 11.3.

Investors should aim to invest in a spread of at least a dozen FTSE 100 income shares, and for those who consider Landsec (which I think is worthwhile), it needs to be balanced with stocks that have more growth potential.

Harvey Jones has no positions in the shares mentioned. The Twelfth Magpie has recommended Land Securities Group Plc. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor and Hidden Winners.

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So how might someone go about doing this, even with a relatively modest level of savings?

Some numbers

According to a survey by Finder, the average person has £19,214 saved. But this hides a wide disparity in figures. The research found that 16% of all UK adults have no savings at all and 39% have less than £1,000 tucked away.

Historically, many people have invested in bricks and mortar as a means of generating a passive income. However, rising borrowing costs and the need for a large deposit means £19,214 is unlikely to go very far in today’s market.

Another approach is to buy dividend shares. For example, the top 10 yielders on the FTSE 100 are currently offering a return of 6.6%.

And savvy investors know that bigger gains can be made by reinvesting these payouts. Doing this could increase the yield on the initial lump sum to 6.5% in year two and 7% in year three, and so on, all other things being equal.

Based on a return of 6.6%, a portfolio of £19,214 would – if all goes to plan — earn £1,268 in dividends over the next 12 months. Some companies pay quarterly dividends whereas others make interim and final payments each year. Either way, there’s likely to be a steady flow of cash.

Can this be true?

Earning money from doing nothing is what income investing is all about. However, there are risks.

Dividends are never guaranteed. They are a distribution of profit and can therefore fluctuate in line with earnings, which are heavily dependent on the business cycle and macroeconomic conditions. Also, there’s little point earning a healthy income stream if your capital’s being eroded due to a falling share price.

Despite these challenges, there are plenty of people that have made good money from investing in UK dividend shares.

Any examples?

One of the highest-yielding FTSE 100 stocks is Land Securities Group (LSE:LAND). It owns a £9.8bn portfolio of offices, shopping centres, and retail parks, which could appeal to those that like the idea of investing in commercial property without wanting to get into debt or deal with tenants.

Based on amounts paid over the past 12 months, it’s presently returning 6.9%. This means a £19,214 investment could yield £1,326 in dividends.

Importantly, the stock has a good track record of raising its dividend – it was last cut during the pandemic – and it’s looking to boost it further by moving into residential property.

Despite this, it’s not immune from the cyclical nature of the UK property market. And its relatively high level of borrowings makes it vulnerable to interest rates staying higher for longer.

But as a real estate investment trust, tax rules require the group to return at least 90% of its rental profit to shareholders via dividends each year.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

Also, the quality of its portfolio means it has an occupancy rate of around 95%. At its retail parks, it’s 99%.

Personally, I believe Land Securities Group is one of many UK shares that could be considered by those attracted to the idea of earning passive income.

The post £19,214 in savings? Here’s how to aim to unlock £1,268 in passive income straight away appeared first on The Twelfth Magpie.

There are two main ways to tuck money away in the tax-free wrapper. The first is through a Cash ISA, which is effectively just a savings account, but with no tax on the interest. The second is via a Stocks and Shares ISA. At The Motley Fool, this is the one we favour. That’s because history shows over the longer run, equities deliver a vastly superior return to cash deposits.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

Cash or equities, there’s only one winner

New research from Investing Insiders shows that in the last 10 years, the average Stocks and Shares ISA returned on average 9.5% a year, against just 4% from Cash ISAs.

My own figures show that if somebody had £10,000 in a Stocks and Shares ISA, and invested another £5,000 a year for 10 years, they’d have £109,975 at the end of it. By contrast, in a Cash ISA they’d have just £77,234.

The performance gap widens over time. In cash, they’d have £176,757 after 20 years. That’s less than half the £357,735 they’d get from shares (assuming those growth figures hold).

Cash ISAs are a great home for short-term savings, but for long-term wealth, the Stocks and Shares ISA is superior. So how big a pot does an investor need to generate income of £250 a week, which adds up to £13,000 a year? There’s a simple way of calculating this, known as the 4% rule. This says if you withdraw that percentage of your portfolio each year, your capital should never run dry. Using that, our investor would need £325,000.

However, if they invested in a spread of dividend shares with an average yield of 5% a year, and took that as their income, they’d need just £260,000.

Land Securities has a high yield

It’s actually possible to get a much higher yield than 5%. Real estate investment trust Land Securities Group (LSE: LAND) yields an impressive 7% a year. REITs come with tax advantages, as they pay no corporate tax provided they distribute at least 90% of taxable income to shareholders.

Land Securities, or Landsec, as it’s often called, runs a commercial property portfolio of offices, shopping centres and retail parks. While it’s an established FTSE 100 blue chip, it has had a tough run lately, along with the rest of the REIT sector.

The pandemic-era working-from-home trend hit office demand while the subsequent cost-of-living crisis hit bricks-and-mortar retail (as did e-commerce). Higher interest rates pushed up borrowing costs, and made it harder to dispose of properties at a profit.

Things looked more promising at the start of the year, as investors anticipated falling interest rates, but the Iran war has put a spanner in the works. Landsec still looks good value with a price-to-earnings ratio of 11.6 and is worth considering with a long-term view. Investors should only buy as part of a wider portfolio of shares to spread risk.

Equities may be volatile in the short term, but that’s the price investors pay for higher returns. And with luck, a higher retirement income too.

The post What size ISA do you need for £250-a-week retirement income? appeared first on The Twelfth Magpie.

Delightful dividends

Dividends are cash payouts from companies to shareholders. Not all London-listed businesses pay dividends, but most FTSE 100 firms do. Future dividends are not guaranteed, so they can be cut or cancelled without notice. This happened repeatedly during the 2020/21 pandemic.

As a value/income investor, I’m a big fan of dividends — the closest thing to ‘free money’ I’ve found. Once, US business tycoon John D Rockefeller even remarked, “Do you know the only thing that gives me pleasure? It is to see my dividends coming in”.

Good news: AJ Bell expects £88bn in FTSE 100 dividends for 2026. In addition, Footsie companies have announced £29.4bn of share buybacks for 2026, more than half 2025’s total. Hence, the UK stock market now offers one of the highest cash yields among world equity markets.

Catching this cash

Currently, my family portfolio is balanced between high-yielding dividend shares and US growth stocks. We own perhaps 25 different UK shares, including many long-established FTSE 100 and FTSE 250 businesses.

Even better, the FTSE 100 has surged by 34.5% over the past 12 months, beating many major stock indexes. Meanwhile, the US S&P 500 is up 29.6% over one year, while the tech-heavy US Nasdaq Composite index has gained 39.3%. (All figures excluding dividends.)

The simplest way to seize a share of this flood of FTSE 100 cash is to buy low-cost passive funds that track the index. Some trackers charge fees as low as 0.06% a year. I see this as the cheapest, simplest way to grab dividends and global growth (because over three-quarters of Footsie earnings come from overseas).

Hi, yields!

From the latest Dividend Dashboard, I note my family portfolio owns three of the five highest-yielding FTSE 100 shares. But we don’t own stock in Land Securities Group (LSE: LAND), the UK’s largest developer of commercial property.

British property investors and developers have had a hard time since 2020. In particular, the Covid-19 pandemic led to a rise in hybrid working and working from home. Also, rising interest rates since 2022 have dramatically pushed up borrowing costs.

Then again, real estate was the world’s original asset class, plus my family portfolio is under-exposed to this sector. And Land Securities owns a wide range of properties, from London offices to leading shopping centres and major retail parks.

At the current share price of 583.5p, this stock offers a market-beating dividend yield of 7% a year. That’s nearing twice the Bank of England’s base rate of 3.75% a year. The shares are up 10.9% over one year, but down 18.6% over five — and perhaps hover in value territory?

Therefore, I shall recommend Land Securities as a new high-yield holding to my family. Again, the past six years have been rough for this industry — and further rate hikes or falling valuations could mean more tough times for property businesses. Even so, I’m still drawn to that 7% yearly cash!

The post Here’s how FTSE 100 dividends produce potent passive income appeared first on The Twelfth Magpie.

However, the real potential of these types of stocks lies in reinvesting the dividends. Let me explain.

Short-term sacrifice for long-term gain

Land Securities Group (LSE:LAND), owner of a £10.9bn property empire, is currently yielding 7.2%. In other words, it’s paying dividends of £72 for every £1,000 invested. That’s a great return for doing nothing. If this was maintained for 10 years, an initial lump sum of £1,000 would produce income of £720 over the course of the decade.

However, if someone reinvested the dividends and bought more shares – often referred to as compounding — the £1,000 would grow to £2,004 after 10 years. That’s a near-doubling and a 16.5% improvement on the return for someone who banked the dividends. 

Repeat this for another decade and a shareholding of £4,017 could result.

After 30 years, the £1,000 could be worth £8,051. That’s an astonishing overall return of 705%.

These examples ignore any growth in the group’s share price although, of course, stocks can go down as well as up.

Buyer beware

However, dividends can be volatile, especially for a business that’s 100% exposed to the UK commercial property sector. But income investors can take some comfort from the fact that as a real estate investment trust (REIT), Land Securities Group must pay dividends equal to 90% of its annual rental profit.

Threats to its earnings include higher interest rates leading to increased borrowing costs. Also, the group’s in a period of transition – it calls this “capital rotation”.

Until recently, it owned only retail properties and offices. By 2030, it hopes to have over 6,000 homes in the residential sector on its books. It also plans to shift its focus to premier retail destinations and top-tier offices. If all goes to plan, this will deliver a higher return on capital. And the group’s hoping that the income from residential properties will be less cyclical. Otherwise, it will have spent billions with little improvement in its financial performance.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

My view

Impressively, the group has a strong track record of growing its dividend. And investors appear to be warming to its story. Since April 2025, Land Securities’ shares have risen 16%.

Despite the risks associated with the sector, I like its new strategy. I also think its 97.7% occupancy rate demonstrates the quality of its properties. For example, it owns the Bluewater Shopping Centre in Kent, MediaCity in Salford, and Liverpool One.

And I appreciate the near-50% increase in its payout over the past five financial years. That’s why I believe it’s one of many income shares – and REITs in particular – that could be considered by those looking to make a healthy return from the UK stock market.

The post With the potential to double in 10 years, this could be a dividend stock to consider buying appeared first on The Twelfth Magpie.

Yields are calculated by dividing the dividend per share by the share price. So when share prices fall, yields rise. That makes market dips a particularly appealing time to buy income shares. As the Iran war sadly continues, are we looking at an opportunity today?

Top FTSE 100 dividend options

The FTSE 100 has already slipped into correction territory, defined as a fall of 10% or more. That’s pushed yields noticeably higher across a range of sectors. Life insurer Legal & General Group offers the biggest trailing yield of all at a stunning 8.55%. Insurer Standard Life yields 7.85%, while wealth manager M&G yields 7.2%. Another insurer, Aviva, yields 6.3%.

Real estate investment trusts, or Reits, are also terrific sources of dividends. Land Securities Group (LSE: LAND) yields 7.2%, while Londonmetric Property yields 6.6% and British Land 6.3%.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice.

Land Securities, or Landsec, is one of the UK’s largest commercial property owners and developers, with a broad portfolio of offices, shopping centres and retail parks. Like much of the sector, it has faced a tough few years.

The pandemic dealt a double blow, crushing retail footfall while accelerating the shift to online shopping. At the same time, the rise of working from home reduced demand for office space. The subsequent cost-of-living crisis added further pressure, squeezing consumers, pushing up borrowing costs and denting returns from property disposals.

Even so, underlying rental income has remained relatively resilient, and tenant occupancy levels have held up well.

This stock is cheaper than a decade ago

There were hopes of a recovery this year, due to the anticipated drop in interest rates. This should both reduce the cost of capital and support both businesses and consumers. The Iran conflict has wrecked that for now. Landsec shares are down around 11% over the past month alone. Over 12 months, they’re up just 3%.

In fact, at 586p the shares of roughly half their value of a full decade ago. That explains the high yield and low valuation. The price-to-earnings ratio is a modest 11.3.

This could present a buying opportunity to think about, but risks remain. That’s especially so if the conflict drags on, denting growth and driving up inflation and interest rates. Property companies like Landsec are particularly sensitive to borrowing costs and demand. Yet I think this could be a good moment to consider Landsec. The short term is likely to remain bumpy, but investors who take a long-term view will potentially reap the rewards. Not just in income, but growth too. If and when the shares finally recover.

This isn’t the only FTSE 100 income stock trading around a 10-year low today. I can see several more worth looking at. A sensible approach may be to drip-feed money in, to take advantage of today’s reduced valuations. If shares fall further, be ready to invest even more.

The post Is this market correction a once-in-a-decade chance to buy ultra-high-yield income stocks? appeared first on The Twelfth Magpie.

The Stocks and Shares ISA wrapper’s a great way to invest in equities because all share price growth and dividend income is tax-free for life. On death, unused pots can even be passed onto a spouse or civil partner, with the tax advantages intact.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

Stock markets are volatile right now, due to the conflict in Iran. That will scare many investors away, but in fact today could actually be a good time to invest.

FTSE 100 buying opportunity

At The Motley Fool, we think stock market volatility as a good opportunity to snap up shares, because they’re suddenly cheaper than they were. Not just that, but they pay more income too. Yields are calculated by dividing the dividend per share by the share price. When share prices fall, yields automatically rise. We’re seeing that again now.

Today, two FTSE 100 stocks offer eye-popping yields. Insurer and asset manager Legal & General Group has a trailing yield of 8.8%, while insurer Standard Life, until recently called Phoenix Group, yields 8.1%.

This is roughly twice what investors can expect from a market-leading savings account. Plenty of other blue-chip stocks have supersized yields including wealth manager M&G at 6.9%. I actually hold all three. They’re all financial services stocks, so I need to diversify my income sources by investing in another sector. What about Land Securities Group (LSE: LAND), also known as LandSec? It pays some of the most generous income on the index.

LandSec’s one of the UK’s largest commercial property owners and developers, with a diversified portfolio of offices and shopping centres. Lately, it’s had a tough run, hit by trends beyond its control. They include online shopping, the work-from-home trend, and the cost-of-living crisis. The ailing UK economy has also knocked profits from property disposals.

Land Securities’ shares tempt

At today’s price of 600p, LandSec shares trade at roughly half their level 10 years ago. The shares were starting to recover, but rising oil prices and inflation have knocked them back. They’re down 9% in the last month. One positive is that LandSec shares now look good value, with a price-to-earnings ratio of just 11.8. The dividend yield has climbed to 6.8%.

Obviously, there are risks, especially if the Iran conflict drags on. This could fall further, or the dividend could come under pressure. I think it’s worth considering for income-focused investors who understand this niche sector. If not, I can see plenty more nicely-priced passive income stocks on the FTSE 100 today.

The post An unmissable chance to get an eye-popping second income from FTSE shares? appeared first on The Twelfth Magpie.

But it’s important not to tar all of them with the same brush. Here are two stocks yielding more than 6%. Does this sound too good to last? Let’s see.

Changing habits

ITV’s (LSE:ITV) having to adapt to a changing world. When I was growing up, it was just one of three television channels. And until Channel 4 came along in 1984, ITV had a monopoly on TV advertising revenue. Nowadays, it has to compete with other linear broadcasters, US streamers, and the internet.

In some respects, it’s remarkable that in February, UK viewers spent an average of 28 hours and five minutes watching its programmes. Despite such fierce competition, this is higher than the figures for Netflix and YouTube.

But concerns that viewers are moving away from traditional broadcasters have been weighing on the company’s share price, which has been stuck in a relatively narrow range for the past three years or so. Occasionally, it will leap on takeover rumours — there’s been recent speculation that Sky wants to buy its broadcast channels and streaming platform – but nothing’s come of these.

Since the pandemic, the group’s maintained its dividend at 5p. This lack of growth is a potential red flag to me.

Although I think it’s a little early to write off the group – ITVX is performing well and its production arm continues to grow — I see advertising revenues shrinking over the long term. I suspect this summer’s football World Cup will give it a bit of a boost, especially if England and Scotland do well. Otherwise, it looks like a case of managed decline to me. And if I’m right, its dividend’s likely to come under pressure. The stock’s not for me.

Bricks and mortar

On the other hand, I think the 6.9% yield offered by Land Securities Group (LSE:LAND) is more sustainable. It owns a £10.8bn portfolio (at 30 September 2025) of offices, retail parks, and shopping centres.

Admittedly, the UK commercial property market is cyclical but history shows that the sector regularly delivers above-inflation returns. This gives me some confidence that the group’s dividend can keep growing, albeit at a relatively modest rate. In cash terms, its payout was 3.4% higher for its March 2025 financial year than it was three years earlier.

Importantly, Land Securities Group qualifies as a real estate investment trust (REIT). In return for certain tax privileges, this means it must return at least 90% of its annual rental profit to shareholders by way of dividends. For those who want to invest in commercial property without having to find a huge amount of capital – or borrow – a REIT can be an attractive investment vehicle.

One issue to keep an eye on is the group’s debt. Higher interest rates will increase borrowing costs and lift its loan-to-value stance. This could restrict its future borrowing capacity or, worse, lead to a breach of lending covenants.

Looking ahead, the group’s scaling down its exposure to offices and moving into residential property developments. This should boost its future rental yield. On balance, I think the stock’s one that could be considered by income investors.

The post With 6%+ yields, are these two of the best stocks to consider buying for passive income? appeared first on The Twelfth Magpie.