Whatever the economic conditions, the one thing that always remains in demand is dividend stocks. With that in mind, experts have selected these 2 dividend stocks from the UK market: Phoenix Group & NextEnergy Solar Fund.
The first stock is Phoenix Group, which offers a dividend yield of 11.1%. A quick look at the FTSE 100 shows that this stock offers the largest dividend yield out of all stocks in 2025.
What's more interesting is that Phoenix Group is also financially strong, allowing it to keep paying dividends for many years.
The data from June shows that the shareholder capital ratio of Phoenix Group is 168%. That's right inside the range of 140 - 180% and shows that things are looking really good.
The firm also has a very strong cash base, which allows it to use it whenever structural opportunities arise. Also, the firm is expected to enjoy more sales as the world's population ages.
NextEnergy Solar Fund (NESF) offers a 13.6% dividend yield, which makes it one of the best dividend stocks in the FTSE 100.
Being an electricity producer, the firm can offer such healthy dividends to its shareholders quite easily. On top of that, the energy demand will remain high, offering earnings stability to the NextEnergy. Also, this will be helpful for the firm in paying large dividends.
Furthermore, the company has kept increasing its annual payouts every single year since the time it was listed on the LSE. Even at that time, the dividend yield of the stock was 5 -7%, a lot higher than the FTSE 100 yield of 4%.
However, it's worth mentioning that renewable energy stocks like this do carry some risk. For example, a reduction in solar radiation can affect the firm's ability to generate power, which means less revenue.
But, NextEnergy has a pretty diversified geographic footprint which allows it to reduce any burden on the profits. The company currently owns 100+ projects of solar energy spread throughout the Europe.