United Utilities Group

Website: United Utilities Group
Index: FTSE 100
EPIC: UU.
Supersector: Utilities
Sector: Gas, Water and Multiutilities
Subsector: Water
Market Cap: £8.02B
Payout Frequency: Semi-Annual

Next United Utilities Group Dividend

United Utilities Group next goes ex-dividend on 18/12/2025. This will be the Interim dividend for 2025.

The dividend per share amount is 17.8800p (GBP) and the payment date is 02/02/2026.

United Utilities Group Dividend Analysis and Summary

Key Dividend Details

Interim dividend declared: 17.88p per share (H1 FY26), up +3.5% YoY (from 17.28p), in line with policy to grow with CPIH.
Ex-dividend date: 18/12/2025
Record date: 19/12/2025
Payment date: RNS contains two references — 12/01/2026 (Note 9) and 02/02/2026 (narrative section). Investors should confirm the correct date with the registrar.
Dividend policy: target growth in line with CPIH each year (policy maintained).
DRIP available via Equiniti; ISIN: GB00B39J2M42; TIDM: UU.
Coverage (H1): underlying EPS 52.8p vs interim DPS 17.88p ? c.3.0x interim cover (underlying basis).

Financial Support and Coverage

H1 underlying performance: revenue +21% to £1,309m; underlying operating profit +67% to £562m; underlying EPS 52.8p.
Cash flow: net cash from operations £687m in H1; dividends paid in period £236m.
Balance sheet: net debt £9.61bn; RCV £15.98bn; RCV gearing 60% (mid of 55–65% target). Liquidity to H2 FY28; solid credit ratings (Moody’s Baa1, Fitch A-, S&P BBB+ at UUW).
Cost of debt: average effective rate 5.3% (H1), reflecting higher inflation and funding for AMP8; capitalised interest £45.7m helps P&L optics.
Inflation-linkage: c.36% RPI-linked and 14% CPI/CPIH-linked debt; company plans to reduce index-linked share to ~one-third over AMP8, moderating inflation-driven interest volatility over time.

Dividend Sustainability and Growth Outlook

Policy points to FY26 dividend growth with CPIH. With FY25 DPS at 51.85p, a CPIH-linked uplift of 3.5% implies a full-year DPS around ~53.7p (indicative; company has not guided a specific DPS).
Company guidance for FY26 EPS around ~100p suggests comfortable implied dividend cover of roughly ~1.8x on a policy-level full-year dividend, supporting sustainability.
Cash generation and regulatory allowances improved in PR24; management targets =100bps outperformance on RoRE, which can bolster distributable capacity alongside ~7% nominal RCV CAGR.
Capital allocation: sizeable AMP8 capex (c.£9bn to FY30) and investment-led RCV growth are balanced by maintaining gearing within 55–65% and ample liquidity. Dividend growth remains explicitly tied to CPIH, not discretionary excess cash.

Structural or Policy Changes Affecting Dividends

Inflation-linked funding policy change: moving from ~50% to ~33% of net debt in index-linked form across AMP8. This should reduce earnings/cash flow sensitivity to inflation, improving dividend resilience over time.
No M&A, demerger or share consolidation announced. DRIP remains available.
Regulatory landscape evolving: Government intent to establish a single water regulator and introduce a statutory ombudsman may alter sector oversight; UU highlights a framework recognising investor risk and fair returns.

Risks and Flags to Dividend Stability

Payment date inconsistency within the RNS (12 Jan 2026 vs 2 Feb 2026). Investors should verify; this is likely a clerical discrepancy but worth confirming.
Regulatory enforcement: ongoing Ofwat and Environment Agency investigations; potential penalties and/or mandated remediation could impact cash flows (Ofwat penalties for peers have ranged up to c.9% of relevant wastewater turnover).
Customer ODI: net ODI penalty expected in FY25/26 as new AMP8 measures phase in; modest headwind to allowed returns near term.
Litigation: consumer class action not certified at CAT but on appeal in 2026; outcome uncertain.
Financing and inflation: higher average interest costs; material index-linked exposure (mitigating over time) leaves earnings sensitive to inflation prints.
JV performance: Water Plus losses in H1; limited direct cash impact but indicative of retail market pressures.

United Utilities Group Annual Dividend Yield - 4.41%

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
28/11/2024	13/01/2025	Interim	17.28p	GBX
19/06/2025	01/08/2025	Final	34.57p	GBX

Total (Annual Dividends Per Share): 51.85p

Dividend Yield = Annual Dividends Per Share (51.85p) ÷ Share Price (1174.5p) = 4.41%

Ex Dividend Date	Payment Date	Type	Amount	Currency
18/12/2025	02/02/2026	Interim	17.8800p	GBX
19/06/2025	01/08/2025	Final	34.57p	GBX
28/11/2024	13/01/2025	Interim	17.28p	GBX
20/06/2024	01/08/2024	Final	33.19p	GBX
21/12/2023	01/02/2024	Interim	16.59p	GBX
22/06/2023	01/08/2023	Final	30.34p	GBX
22/12/2022	01/02/2023	Interim	15.17p	GBX
23/06/2022	01/08/2022	Final	29.00p	GBX
16/12/2021	01/02/2022	Interim	14.50p	GBX
24/06/2021	02/08/2021	Final	28.83p	GBX
17/12/2020	01/02/2021	Interim	14.41p	GBX
25/06/2020	03/08/2020	Final	28.40p	GBX
19/12/2019	03/02/2020	Interim	14.20p	GBX
20/06/2019	01/08/2019	Final	27.52p	GBX
20/12/2018	01/02/2019	Interim	13.76p	GBX
21/06/2018	03/08/2018	Final	26.49p	GBX
21/12/2017	01/02/2018	Interim	13.24p	GBX
22/06/2017	04/08/2017	Final	25.92p	GBX
15/12/2016	01/02/2017	Interim	12.95p	GBX
23/06/2016	01/08/2016	Final	25.64p	GBX
17/12/2015	01/02/2016	Interim	12.81p	GBX
25/06/2015	03/08/2015	Final	25.14p	GBX
18/12/2014	02/02/2015	Interim	12.56p	GBX
18/06/2014	01/08/2014	Final	24.03p	GBX
18/12/2013	03/02/2014	Interim	12.01p	GBX
19/06/2013	02/08/2013	Final	22.88p	GBX
19/12/2012	01/02/2013	Interim	11.44p	GBX
20/06/2012	03/08/2012	Final	21.34p	GBX
14/12/2011	01/02/2012	Interim	10.67p	GBX
22/06/2011	01/08/2011	Final	20.0p	GBX
15/12/2010	02/02/2011	Interim	10.0p	GBX
16/06/2010	02/08/2010	Final	23.13p	GBX
16/12/2009	03/02/2010	Interim	11.17p	GBX
17/06/2009	03/08/2009	Final	22.03p	GBX
17/12/2008	04/02/2009	Interim	10.64p	GBX
25/06/2008	08/08/2008	Final	31.47p	GBX
19/12/2007	11/02/2008	Interim	15.2p	GBX
27/06/2007	24/08/2007	Final	30.3p	GBX
20/12/2006	12/02/2007	Interim	14.63p	GBX
28/06/2006	25/08/2006	Final	29.58p	GBX
21/12/2005	09/02/2006	Interim	14.29p	GBX
08/06/2005	26/08/2005	Final	30.63p	GBX
22/12/2004	09/02/2005	Interim	14.79p	GBX
30/06/2004	27/08/2004	Final	29.88p	GBX
17/12/2003	09/02/2004	Interim	14.43p	GBX
25/06/2003	29/08/2003	Final	32.1p	GBX
18/12/2002	10/02/2003	Interim	15.5p	GBX
05/06/2002	01/10/2002	Final	31.7p	GBX
05/12/2001	11/02/2002	Interim	15.3p	GBX
06/06/2001	01/10/2001	Final	31.1p	GBX
13/12/2000	12/02/2001	Interim	15.0p	GBX
05/06/2000	01/10/2000	Final	30.5p	GBX
20/12/1999	14/02/2000	Interim	14.7p	GBX
07/06/1999	01/10/1999	Final	29.9p	GBX
30/11/1998	06/04/1999	Interim	14.4p	GBX
08/06/1998	01/10/1998	Final	29.0p	GBX
08/12/1997	16/02/1998	Interim	13.16p	GBX
13/06/1997	01/10/1997	Final	25.2p	GBX
17/12/1996	13/02/1997	Interim	12.0p	GBX
08/06/1996	01/10/1996	Final	19.59p	GBX
28/12/1995	16/02/1996	Interim	9.27p	GBX
16/06/1995	03/10/1995	Final	21.0p	GBX
03/01/1995	24/02/1995	Interim	8.35p	GBX
16/06/1994	03/10/1994	Final	15.4p	GBX
04/01/1994	06/04/1994	Interim	7.67p	GBX
17/06/1993	06/08/1993	Final	14.27p	GBX
04/01/1993	26/02/1993	Interim	7.13p	GBX
11/06/1992	01/10/1992	Final	13.13p	GBX
03/01/1992	17/02/1992	Interim	6.54p	GBX
22/07/1991	01/10/1991	Final	12.0p	GBX
28/01/1991	04/03/1991	Interim	6.0p	GBX
23/07/1990	10/10/1990	Final	10.47p	GBX

Year	Interim	Final	Currency	Total	Change
2024	17.280	33.190	GBX	50.470	7.540
2023	16.590	30.340	GBX	46.930	6.240
2022	15.170	29.000	GBX	44.170	1.930
2021	14.500	28.830	GBX	43.330	1.210
2020	14.410	28.400	GBX	42.810	2.610
2019	14.200	27.520	GBX	41.720	3.650
2018	13.760	26.490	GBX	40.250	2.780
2017	13.240	25.920	GBX	39.160	1.470
2016	12.950	25.640	GBX	38.590	1.680
2015	12.810	25.140	GBX	37.950	3.710
2014	12.560	24.030	GBX	36.590	4.870
2013	12.010	22.880	GBX	34.890	6.430
2012	11.440	21.340	GBX	32.780	6.870
2011	10.670	20.000	GBX	30.670	-7.420
2010	10.000	23.130	GBX	33.130	-0.210
2009	11.170	22.030	GBX	33.200	-21.150
2008	10.640	31.470	GBX	42.110	-7.450
2007	15.200	30.300	GBX	45.500	2.910
2006	14.630	29.580	GBX	44.210	-1.580
2005	14.290	30.630	GBX	44.920	0.550
2004	14.790	29.880	GBX	44.670	-3.990
2003	14.430	32.100	GBX	46.530	-1.410
2002	15.500	31.700	GBX	47.200	1.720
2001	15.300	31.100	GBX	46.400	1.970
2000	15.000	30.500	GBX	45.500	2.010
1999	14.700	29.900	GBX	44.600	2.760
1998	14.400	29.000	GBX	43.400	13.130
1997	13.160	25.200	GBX	38.360	21.430
1996	12.000	19.590	GBX	31.590	-18.200
1995	17.620	21.000	GBX	38.620	67.400
1994	7.670	15.400	GBX	23.070	7.800
1993	7.130	14.270	GBX	21.400	8.790
1992	6.540	13.130	GBX	19.670	9.270
1991	6.000	12.000	GBX	18.000	71.910
1990		10.470	GBX	10.470

United Utilities Group Dividend Calculator

Number of Shares:

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United Utilities Group Dividend Growth

Dividend Growth (1Y)	3.92%
Dividend CAGR (5Y)	4.15%
Years of Growth	13
Payout Ratio	88.02%
Buyback Yield	-0.02%
Shareholder Yield	4.39%

P/E Ratio (TTM)	20.04
Forward P/E	10.96
P/FCF	–
Earnings Yield	5.01%
FCF Yield	-0.73%
ROE	20.44%
ROCE	5.24%
Profit Margin	16.93%
Operating Margin	36.31%
Gross Margin	95.1%