2 Top Dividend Growth Stocks for Reliable Passive Income in 2024

Investing in dividend stocks can be a smart way to generate passive income, especially during uncertain economic times. While dividends are never guaranteed, selecting companies with strong track records, defensive business models, and sustainable payouts can improve your chances of steady returns.

Here are two high-yield dividend stocks worth considering for your portfolio this July:

1. Octopus Renewables Infrastructure Trust (LSE: ORIT) – 8.2% Dividend Yield

Why Invest?

The renewable energy sector has faced challenges recently, including rising costs and supply chain disruptions (such as the cancellation of the Hornsea 4 wind farm). However, Octopus Renewables Infrastructure Trust (ORIT) stands out due to its:
✅ Diversified portfolio – Assets spread across Europe & Scandinavia, reducing geographic risk.
✅ Multiple energy sources – Wind, solar, and battery storage, minimizing reliance on a single technology.
✅ Consistent dividend growth – Payouts have increased every year since its 2020 IPO.

Key Stats:

• 2025 Forecast Dividend: 6.17p per share (matching UK CPI inflation)

• Current Yield: 8.2% (significantly above FTSE 100 average)

Risks to Consider:

⚠ Interest rate sensitivity – Higher rates could pressure profits.
⚠ Policy changes – Government shifts in green energy support may impact growth.

Verdict: A strong choice for high, inflation-linked dividends in the renewable energy space.

(For more on renewable energy stocks, check out Bloomberg Green or The Guardian’s Energy Section.*)

2. Assura (LSE: AGR) – 6.6% Dividend Yield (Healthcare REIT)

Why Invest?

As a UK-focused healthcare real estate investment trust (REIT), Assura owns primary care facilities leased to the NHS. Its defensive qualities include:
✅ Government-backed rental income – Long-term leases with the NHS ensure stability.
✅ 10+ years of dividend growth – Uninterrupted payouts since 2013.
✅ Rising demand – The NHS is expanding community healthcare to ease hospital pressures.

Key Stats:

• 2026 Forecast Dividend: 3.32p per share

• Current Yield: 6.6% (attractive for a low-risk sector)

Risks to Consider:

⚠ Interest rate exposure – Debt costs could rise, impacting profits.
⚠ NHS funding changes – Budget cuts could affect rental growth.

Verdict: A reliable income stock with defensive qualities in an essential sector.

(For more on REIT investing, see Investopedia’s Guide to REITs or FT’s Property Section.*)

Final Thoughts: Building a Dividend Portfolio

Both Octopus Renewables (ORIT) and Assura (AGR) offer:
✔ High yields (6.6%–8.2%)
✔ Proven dividend growth
✔ Defensive business models

While risks exist, these stocks could be strong additions to a passive income portfolio.

Want More High-Yield Stock Ideas?

Before making any decisions, check out Motley Fool’s “5 Stocks for Building Wealth After 50”—a free report highlighting long-term dividend growth opportunities.