The big attraction is the yield, which has recently ticked just above 10% — a goldmine for income investors.

But as always, the question is whether that income stream is dependable. I decided it was time to take a closer look.

What the business does

Greencoat UK Wind invests only in operating UK wind assets, including both onshore and offshore farms. That matters because it avoids the build-out risk you get with early-stage renewable projects, where delays and overruns can hurt returns.

The trust’s stated aim is to pay an annual dividend that rises in line with inflation while preserving capital value in real terms.

Here’s a few quick stats:

Aside from a brief pause in 2024, the company’s increased its dividend for 12 consecutive years, paying out £1.4bn in dividends since its IPO. That’s the kind of credibility income investors need: a dividend backed by a long record, not just a sudden yield jump.

So far, so good. But is that the whole story?

What I like about the stock

The income case is straightforward. Greencoat UK Wind targets an inflation-linked dividend, with its 2025 annual results presentation stating a target of 10.70p per share for 2026. That would be a 3.4% increase, in line with December 2025 CPI.

In its H1 2025 presentation, it showed earnings covered dividends 1.3 times. That isn’t bad, but if earnings slip further this year, it could struggle to maintain that level.

This is the key thing investors need to watch. A 10% yield sounds brilliant, but if the trust can’t cover it, the dividend’s at risk. There’s some comfort in the fact that strong cash generation and reinvestment have kept things covered in the past.

Basically, for a stock boasting a 10% yield, the coverage is above average — but it isn’t rock solid.

Other risks to watch

The elephant in the room here is the share price. It’s down 22% in the past five years. Estimates suggest it’s now trading at a discount to NAV of between 23%-29%. The 2025 results presentation showed NAV per share fell to 133.5p after the updated review.

That tells me sentiment’s been poor, even if the underlying assets remain productive.

The risks are real. Wind generation’s variable, power prices can fall, debt costs matter, and policy shifts can hit the sector. The company itself noted below-budget generation in 2024 and 2025, plus pressure from power-price assumptions. 

Long story short?

While I think UK Wind’s a solid business – and one that I’d love to see succeed – it’s operating in a very challenging industry. As a result, that 10% yield’s balancing on a less-than-stable foundation.

For investors willing to stomach the volatility, it’s worth considering but only as a small allocation. Personally, I’ll hold off until the sector stabilises.

If you also think it’s a bit risky, I’ve identified another income stock that may offer more stable, predictable returns.

What income stock do we like better than Greencoat Uk Wind Plc right now?

One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential income.

And the best bit is that you can see if for yourself, right now, absolutely free of charge!

No jargon. No hard sell. Just a clear look at an income share we think is worth your time.

Mark Hartley does not hold any positions in the companies mentioned.

The post Should I buy this FTSE 250 dividend stock for the eye-watering 10% yield? appeared first on The Twelfth Magpie.

The reality is that high-yield shares come in different stripes. Some offer an unusually high dividend yield because the market perceives them as very risky. Others though, look like they may continue to pay out generous dividends.

No dividend is ever guaranteed to last. But here are a couple of high-yield shares I think merit consideration for their income prospects.

Diversifying always matters!

The shares are Henderson Far East Income (LSE: HFEL) with its 9.7% yield and Greencoat UK Wind (LSE: UKW), yielding 10%.

Splitting a £20k ISA evenly across those two shares ought to generate £1,970 in passive income a year.

For someone with other stock market investments, such a split may be diversified enough. Without an existing portfolio though, putting the whole ISA into two high-yield shares brings a concentration risk, so it could be worth considering other shares alongside them.

Looking to Asia Pacific for income opportunities

As said, dividends are never guaranteed, but both shares have been growing their payout per share in recent years. Both aim to keep doing so.

Henderson Far East Income is an investment trust that aims to do what it says on the tin. By investing in dozens of companies that are based in or operate across Asia Pacific, the trust aims to benefit from the high growth opportunities seen in some Asian economies.

The share price is down 20% over the past five years. Combined with the dividend growth, that price fall has helped to push up the dividend yield compared to back then.

The company’s portfolio is currently heavily exposed to electronic hardware companies, including well-known chip-makers like Samsung Electronics and Taiwan Semiconductor Manufacturing as well as some names that may be less familiar to British investors, such as Quanta Computer.

That brings a risk. If AI demand weakens and electronics suppliers see revenues fall, the trust’s shareholdings could lose value. But I like the trust managers’ proven ability to identify strong growth opportunities and their commitment to big dividends.

As well as IT-related firms the portfolio also includes firms in more traditional sectors, such as HSBC and Swire Properties.

Renewable energy income provider

With a yield in double digits, Greencoat UK Wind is even more lucrative than Henderson Far East Income. Like many companies focused on renewable energy, the FTSE 250 investment trust has seen its share price fall. At 22% over five years, that fall is slightly greater than the one seen in the Henderson Far East Income share price.

Investors are concerned about the risks of a changing landscape when it comes to funding renewable energy sources and buying power.

For example, Greencoat UK WInd’s managers estimate that the government’s removal of so-called Carbon Price Support, announced this year, could reduce its net asset value by 3p-5p per share. For a share currently selling for a little over a pound, that is material.

But I think the share looks cheap given its sizeable asset base, proven cash generation potential and the ongoing need for power supply to the UK grid.

What income stock do we like better than Henderson Far East Income right now?

One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential income.

And the best bit is that you can see if for yourself, right now, absolutely free of charge!

No jargon. No hard sell. Just a clear look at an income share we think is worth your time.

Christopher Ruane does not hold any positions in the companies mentioned.

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Gone with the wind

I’m talking about Greencoat UK Wind (LSE:UKW). With the share price down 18% in the last year, the dividend yield sits at 10.1%. The company owns stakes in dozens of operational wind farms across the UK. These turbines generate electricity that is sold into the wholesale market. And many assets also benefit from long-term government-backed renewable support schemes that provide inflation-linked income. This means the company produces stable cash flows, with the primary objective of paying shareholders a steadily growing dividend.

Of course, we do need to address the fall in the share price. In my opinion, the decline says more about market sentiment than the underlying business. Renewable infrastructure trusts have been under pressure ever since interest rates began rising. This is because loans are needed to fund new large projects, so the cost of financing has increased.

At the same time, Greencoat’s net asset value (NAV) has been hit by lower electricity price forecasts following the decline in natural gas prices. This is a risk going forward, but the lower price has acted to push the yield higher.

Dividend sustainability

A high yield often signals danger to me, but in Greencoat’s case the dividend has historically been supported by operational cash generation rather than excessive borrowing. Management has continued to target annual dividend growth, and even links the increase to inflation. The business also continues to generate cash comfortably in excess of its dividend payments, with a dividend cover ratio of 1.3. Any number above one shows it can cover the dividends from the latest earnings.

Looking ahead, I think there’s a decent case for sustained income. If interest rates fall over the coming years, infrastructure assets could become more attractive as investors rotate back toward reliable income-producing investments. Greencoat also trades at a 23% discount to the NAV, potentially. This means the stock could rally to a fairer value over time. These gains could then go towards an overall return for an investor along with the dividend yield.

Putting it all together

Overall, I certainly wouldn’t describe the stock as a no-brainer, but the return is generous given the 10.1% yield. Given that the dividend currently appears well supported, I’m looking at investing a small amount to test the waters. Investors who are happy with the risk level and are hunting high-income opportunities could consider doing the same.

Should you invest £5,000 in Greencoat Uk Wind 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 Greencoat Uk Wind Plc made the list?

Jon Smith does not hold any positions in the companies mentioned

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Based on these numbers, the UK’s second tier of listed companies is clearly the poor relation. Yet it’s home to many high-yielding dividend shares that could appeal to income investors. Let’s take a closer look.

Delving deeper

The current (16 July) yield on the FTSE 250 is 3.5%, beating the Footsie’s 3.1%.

But as is often the case, focusing on an average hides a wide variation. For example, based on the past 12 months, there’s an incredible 54 FTSE 250 members yielding 5% or more.

One of these is Greencoat UK Wind (LSE:UKW). It was the country’s first renewable energy infrastructure fund and its £2.8bn portfolio of wind farms (both onshore and offshore) now contributes around 2% of the UK’s electricity.

The fund’s targeting a dividend of 10.7p for 2026. If this is achieved, it means the stock’s currently offering an incredible forward yield of 10.4%. Why so high?

Investor concerns

Although the fund continues to pay an attractive dividend that it’s pledged (no guarantees, of course) to increase in line with inflation, it’s the fall in its share price that’s been the biggest contributor to its above-average yield.

However, based on the value of its assets, this doesn’t appear justified. In fact, the fund now trades at a massive 23.75% discount to its net asset value (NAV).

Although the fundamentals of the market are strong — data centres, electric vehicles, and heat pumps are all increasing demand for electricity — the nation’s finances aren’t in such good shape. As a result, the government’s announced that it will abolish the Carbon Price Support from April 2028. This means electricity prices could fall by up to £5/MWh reducing Greencoat’s NAV by 3p-5p a share.

The fall in its NAV per share has another consequence. It means the trust’s close to its gearing limit of 40%, which restricts the amount it can borrow to fund further expansion.

On the other hand…

Despite these challenges, investors appear committed with 97.08% of shareholders voting against winding up operations at the annual general meeting.

And with the trust’s share price not reflecting the true worth of its assets by such a wide margin, it could be argued that the shares are in bargain territory. A near-25% discount, coupled with a double-digit yield, is an attractive proposition.

Indeed, the trust has increased its annual dividend for 13 consecutive years.

Volatile energy prices remain a concern. But to help mitigate this, the fund entered into various hedging arrangements. In April, it announced that 68% of its cash flows were “fixed in nature” through until March 2027. Although wind speeds can vary, output’s reasonably predictable.

Also, with Ed Miliband widely tipped to become the UK’s next chancellor, I think the renewable energy sector could have a powerful friend in the Treasury.

Personally, I think investors are being overly cautious. This could be a rare opportunity to acquire a FTSE 250 stock with a double-digit yield at a knock-down price.

That’s why I think a small shareholding’s worth considering as part of a well-diversified portfolio.

What income stock do we like better than Greencoat Uk Wind Plc right now?

One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential income.

And the best bit is that you can see if for yourself, right now, absolutely free of charge!

No jargon. No hard sell. Just a clear look at an income share we think is worth your time.

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

The post Is it time to look closer at the FTSE 250 for amazing dividend shares? appeared first on The Twelfth Magpie.

Right now, three energy stocks are offering yields above 10%:

• Renewables Infrastructure Group (LSE:TRIG) at 10.5%.
• Greencoat UK Wind (LSE:UKW) at 10.2%.
• Ithaca Energy (LSE:ITH) at 10.1%.

But are these real income opportunities, or warning signs dressed up as windfalls? Let’s take a closer look.

The renewables pair: opportunity or value trap?

Renewables Infrastructure and Greencoat UK Wind are both London-listed renewable energy investment trusts. The former holds a diversified portfolio of wind, solar, and battery storage assets across the UK and Europe, while the latter specialises exclusively in British wind power.

The income case for both is genuinely compelling on paper.

Both have reaffirmed their 2026 dividend targets, with both also generating sufficient excess cash flow to fund the generous payouts to shareholders. After all, demand for electricity is only rising. And with the British government limiting oil & gas operations in the North Sea, demand from renewable generators is steadily ramping up.

But if that’s the case, then why are the yields so high? The honest answer is that both trusts trade at persistent, uncomfortable discounts to their net asset values.

There are quite a few forces driving this, including higher interest rates dragging down asset values and ramping up the pressure from leverage. But at the same time, stealthy changes to renewable subsidies have sparked significant uncertainty within the renewable energy sector, making most investors pretty cautious.

Buying today is definitely the contrarian stance. And it could prove quite lucrative, but if investor fears prove justified, then both renewable trusts could indeed be yield traps.

Ithaca Energy: high yield, high stakes

Ithaca Energy’s one of the largest oil & gas producers on the UK Continental Shelf, with stakes in six of the 10 largest fields, including a substantial interest in the giant Rosebank development in the North Sea.

The first quarter of 2026 was operationally strong. Average production of 126,000 barrels of oil equivalent per day came in despite severe weather in January and February. Underlying earnings reached $571m and net debt fell to $1.1bn, with available liquidity rising to $1.6bn.

As such, dividends weren’t only confirmed, but upgraded with over $500m now expected to be paid out. So why aren’t more investors taking advantage?

As previously mentioned, current UK energy policy’s unkind to North Sea operators, with massive windfall taxes levied against operators. Ithaca’s no exception. And the situation’s only made worse by a steadily rising production cost per barrel.

For now, the impact’s been manageable thanks to higher oil & gas prices. But if that changes, profits and, in turn, dividends could end up getting squeezed.

The bottom line on all three

All three businesses have committed to maintaining their currently massive yields… for now. But as already discussed, these enormous payouts come with enormous uncertainty and risk.

That’s why, personally, these dividend shares are not at the top of my Buy list. Instead, I’m far more interested in another dividend payer with a similarly juicy yield at a much lower risk.

What income stock do we like better than Ithaca Energy Plc right now?

One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential income.

And the best bit is that you can see if for yourself, right now, absolutely free of charge!

No jargon. No hard sell. Just a clear look at an income share we think is worth your time.

Zaven Boyrazian owns shares in Greencoat UK Wind.

The post 3 dividend shares with 10%+ yields in July 2026! appeared first on The Twelfth Magpie.

I’ve put together a few from the two indexes that I think long-term investors should consider. But as well as a good dividend yield, I also want cover by earnings and dividend growth forecast over three years.

Passive income picks

In my view, those all show attractive passive income characteristics. And if we swapped out one of the FTSE 100 insurers for one in a different sector, we’d be looking at a decent bit of diversification too. It’s looking like a candidate for the perfect passive income starter portfolio.

Income investors often caution against just picking the biggest dividend yield. A lower yield can be worth a lot more over the long term than an immediate here-today-gone-tomorrow high yield.

But today I’m taking a closer look at… yes, Greencoat UK Wind, with its huge forecast 10%. However, I still wouldn’t buy it just because of the yield. No, I’d want to know what’s behind it and whether the dividend is sustainable.

12 years in a row

The company’s aim is to provide investors with an annual dividend that increases in line with CPI inflation while preserving the capital value of its investment portfolio in the long term on a real basis through reinvestment of excess cash flow.

— FY 2025 results

As well as a 12th consecutive year of dividend increases in line with or ahead of inflation, Greencoat returned £109m via share buybacks in the period.

So, a nice fat yield, cover by earnings, and management committed to keeping the dividend growing. Surely we can’t have it all this good? Well actually, no.

Greencoat faces a problem, though it might only be a short-term one. And I think we could still be looking at a compelling investment case. Asset values of the company’s wind farms have been falling — hit by rising interest rates used to value them. And the company is in the process of selling off some assets “to protect and build shareholder value” — in the words of chair Lucinda Riches.

Battling headwinds

Whether dividend rises can be maintained is a question we need to think about. Right now, cash generation seems to be strong. But any threat to it, or the asset-value problem continuing much longer, could lead to further flatlining for the share price.

But Greencoat UK Wind is very much on my list of passive income candidates. And I reckon income investors should consider it.

Should you invest £5,000 in Greencoat Uk Wind 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 Greencoat Uk Wind Plc made the list?

Alan Oscroft owns shares in Aviva and Persimmon.

The post Are these the best UK shares to buy for passive income right now? appeared first on The Twelfth Magpie.

Three names in particular stand out: 

• Greencoat UK Wind (LSE:UKW).
• The Renewables Infrastructure Group (LSE:TRIG).
• Bluefield Solar Income Fund (LSE:BSIF).

All three trade at discounts of more than 20% to their net asset value (NAV). All three offer dividend yields approaching 10%. And all three have been ruthlessly sold off by investors in recent years.

What’s going on? And is this secretly a screaming buying opportunity?

Why are the yields so high?

As a quick introduction, this trio of trusts essentially do the same thing. They own portfolios of renewable energy assets like wind farms, solar parks, and battery storage facilities, and generate income by selling the clean electricity those assets produce.

Today, the investment case should be compelling. Energy prices are expected to rise in the coming months, governments across Europe remain committed to expanding renewable capacity, and all three funds boast a long track record of dividend growth.

But sentiment’s completely collapsed and the culprit’s interest rates.

As rates climbed sharply from 2022, the discount rates used to value long-duration assets like wind farms and solar parks rose with them, eroding NAVs and making these income trusts appear less attractive relative to risk-free bonds.

Meanwhile, the government’s decision to index the Renewables Obligation scheme to CPI rather than the higher RPI measure knocked a meaningful chunk off subsidy cash flows.

The result? Greencoat UK Wind now trades at a 22.6% discount to NAV with a 10.2% yield. TRIG trades at a similar discount. Bluefield Solar trades at a 22.5% discount and offers a yield approaching 10% at 9.84%.

Cheap stocks or value traps?

On paper, these look like extraordinary income opportunities. But investors should be cautious about assuming that rising electricity prices will quickly solve the problem. A significant proportion of each trust’s revenue is locked in through long-term power purchase agreements at pre-agreed prices.

This provides income stability and predictability, which is why these businesses sign them. But it also means when power prices suddenly spike, they don’t get to benefit until these agreements expire. In other words, all three have their generating profits effectively capped for most of their asset portfolios.

There is also a more fundamental issue at Bluefield Solar. Management warned shareholders late last year that “business as usual” is no longer an option, with a potential merger with its fund manager and a significant dividend cut being actively considered.

Renewables Infrastructure Group is potentially at risk of a similar situation, with assets being sold off to pay down debt. And Greencoat’s dividend coverage is also starting to look quite thin.

The bottom line

Out of all three, Greencoat appears to be in a relatively stronger position in 2026. However, while each company owns genuinely valuable energy infrastructure, the risk and uncertainty surrounding these businesses is pretty substantial.

That’s why, despite the prospect of a 10% yield and a dirt cheap discount, I’m not rushing to buy any of the shares right now. Instead, I’m focused on other more promising income opportunities.

Should you invest £5,000 in Bluefield Solar Income Fund 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 Bluefield Solar Income Fund made the list?

Zaven Boyrazian owns shares in Greencoat UK Wind.

The post 10% dividend yields! 3 dirt cheap stocks to consider in June? appeared first on The Twelfth Magpie.

Investor sentiment has soured badly on renewables due to regulatory uncertainty, subsidy changes, and the weight of high interest rates on leveraged balance sheets. But for income investors willing to look past the headlines, the resulting yields are extraordinary.

Two names in particular stand out: Greencoat UK Wind (LSE:UKW) – the UK’s largest listed wind energy fund, operating a diversified portfolio of onshore and offshore wind farms across Britain. 

Foresight Environmental Infrastructure (LSE:FGEN) – a broad environmental infrastructure investor, spanning wind, solar, anaerobic digestion, and sustainable resource assets across the UK and Europe.

They offer dividend yields of 10.1% and 9.8% respectively. The question is, is this the time to be greedy when others are fearful?

Can rising energy prices unlock operating leverage?

The contrarian bull case for buying shares today centres on the war in the Middle East pushing energy prices higher.

With production costs essentially fixed, any sustained rise in wholesale electricity prices flows almost entirely through to profit. It’s a powerful operating leverage dynamic that could make these not only affordable but expandable as well. And, excitingly, there’s already evidence of this playing out.

Greencoat’s first quarter update noted that power prices came in ahead of expectations, with wind generation running 4.2% above budget. And Foresight’s latest NAV announcement showed that updated short-term power price forecasts contributed a 1.6p uplift to its net asset value per share.

As such, both businesses are currently delivering on their income promises. Greencoat’s targeting 10.70p per share dividend for 2026, while Foresight has just announced its 12th consecutive dividend increase, with cover sitting at a comfortable 1.25x for the year.

So where’s the risk?

On paper, higher energy prices sound perfect. In practice, the situation’s a bit more complicated. The problem is that neither business has unlimited upside exposure to higher power prices.

Greencoat’s been actively hedging its merchant exposure and subsequently, 68% of its near-term cashflows are now fixed. In other words, even if energy prices rise, 68% of the group’s income won’t benefit. And Foresight’s seemingly in a similar spot.

Meanwhile, the government’s decision to abolish the Carbon Price Support mechanism from April 2028 will reduce electricity prices by an estimated £4 to £5 per megawatt hour (MWh). That’s great for consumers, but bad news for renewable generators.

But the real sting is inflation. If energy prices rise and drags interest rates back up, the limited top line growth will be paired with much faster growth in debt expenses, compressing margins and putting dividends at risk.

In short, higher prices help, but the secondary effects might actually hurt these businesses more.

So what’s the verdict?

Both Greencoat and Foresight are well-managed funds with proven track records of delivering progressive dividends. But the regulatory headwinds, hedging constraints, and interest rate sensitivity introduce enough uncertainty that I don’t feel the risk-reward is sufficiently compelling right now – even at these extraordinary yield levels.

That’s why I think investors should focus on researching other income stocks with sturdier cash flows right now.

Should you invest £5,000 in Foresight Environmental Infrastructure 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 Foresight Environmental Infrastructure made the list?

Zaven Boyrazian owns shares in Greencoat UK Wind.

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It’s important, though, to hold a diversified range of dividend stocks to balance risk and deliver a reliable long-term income. But what could a diversified portfolio look like?

I think holding a portfolio of 20+ different shares, investment trusts and exchange-traded funds (ETFs) is a top strategy to consider. It could potentially contain the following three dividend heroes: Greencoat UK Wind, Supermarket Income REIT and Legal & General (LSE:LGEN).

If broker forecasts are accurate, a £20,000 Stocks and Shares ISA investment spread equally among these three companies will deliver a £1,840 second income this year alone. As a results I think all three are worth further research.

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.

Why Legal & General shares?

Legal & General is one of the FTSE 100‘s hottest dividend shares. It’s forward dividend yield is 9.1%, and it’s raised annual payouts every year since 2010 bar one.

What’s its secret? It mainly comes down to three things:

• Enormous scale and diversification across product areas.
• Strong cash generation and high capital reserves.
• Commitment to returning excess capital through share buybacks and dividends.

Legal & General also benefits from a market-leading brand and steady market growth. Amid an ageing global population and rising interest in financial planning, demand for its pensions, investment and other products is heading northwards. I’m optimistic this will continue, even though market competition is growing and with it pressure on sales and margins.

A great REIT

Real estate investment trusts (REITs) can be ideal stocks for targeting a second income. Sector rules state 90% or more of rental earnings each year must be distributed to shareholders.

Supermarket Income’s one trust with a better dividend record than most. Why? It also focuses on the highly stable food retail market, and its supermarket properties are let out to blue-chip operators including FTSE 100 firms Tesco and Sainsbury’s.

The result is consistent dividend growth since it listed on London’s stock market in 2019. For this year, it packs an enormous 7.8% dividend yield. But I’m mindful that future dividend growth could be impacted by interest rate rises denting earnings.

A 10.6% income opportunity?

Greencoat UK Wind is another classic safe-haven dividend stock. As its name implies, it operates in the renewable energy space, where demand for its services remains largely unchanged over time.

There are other advantages too, including inflation-linked contracts and long-term offtake agreements with power suppliers. As a consequence, dividends have risen here for 12 of the last 13 years. It also means a juicy 10.6% dividend yield for 2026.

Like any dividend share, there are risks involved. If wind speeds slow down, the amount of profits Greencoat UK makes could slump as power generation drops. That said, the company’s UK-wide portfolio helps spread this risk, resulting in that excellent dividend growth record.

Should you invest £5,000 in Legal & General 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 Legal & General Group Plc made the list?

Royston Wild owns shares in Legal & General.

The post These 3 shares could deliver a £1,840 second income in an ISA overnight! appeared first on The Twelfth Magpie.

In this case, I’m talking about Greencoat UK Wind (LSE: UKW), and an interesting thing has been happening. Its share price has risen 10% since a 2026 low point in February.

It’s still down more than 20% over the past five years, but it does seem investors are taking a renewed interest in it. Let’s dig a bit deeper.

How does the dividend look?

Delivered a 12th consecutive year of dividend increases with or ahead of inflation

— Lucinda Riches C.B.E.

That quote is from the board chair, at full-year results time in February. It can’t be coincidence that that’s when the share price gains started.

The update also told us the “dividend policy will now be to aim to provide shareholders with an annual dividend that increases in line with CPI inflation“. That means a target of 10.7p per share in 2026, with the company aiming for long-term cover of two times by earnings.

The company made share buybacks of £109m too, and reduced its debt principal by £168m. Does this sound like a dividend stock that’s short of cash? No, I don’t think so, either. The feared cuts might be nothing to worry about after all.

Renewable energy struggles

It’s not all sweetness and light at Greencoat, however. And the main problem seems to be falling asset values, as the desire for renewable energy has waned under a political redirection towards oil.

At FY 2025 results time, Riches also spoke of “significant divestments” during the year. She added that capital plans for 2026 include “further divestments, reducing gearing, continuing share buybacks and a disciplined return to reinvestment“.

The following table shows how dividends have been rising over the past five years, but year-end net asset value per share (NAV) has been falling since 2022.

The company, structured as a real estate investment trust (REIT), has strict debt management policies. That includes a limit on aggregate debt of no more than 40% of gross asset value at the time of drawing. The figure stood at 42% at 31 December — still within covenants, but clearly making investors a bit twitchy.

What should investors look for?

It seems a shame to me that Greencoat, while generating strong cash flow and paying increasing dividends, needs to dispose of some of the very assets its cash depends on.

Still, I expect we’ll see better focus in the future, retaining higher-valued assets. And I have little doubt that renewable energy will return to favour — hopefully before too much longer.

Despite the market’s apparent misgivings, I rate Greencoat UK Wind as a long-term dividend stock definitely worth considering.

The post This UK dividend stock is rising, but still offers a stunning 10.3% yield! appeared first on The Twelfth Magpie.