Passive income from shares remains one of the most appealing concepts for investors looking to generate extra cash without constant active involvement.
The stock market provides this opportunity through dividends, which represent a proportion of company profits distributed back to shareholders, typically twice a year.
Not all stocks pay dividends, and not all dividend-paying companies are equal, with plenty forced to reduce or cut their cash returns entirely when difficulties arise.
However, a number of UK-based firms have demonstrated a consistent ability to deliver reliable dividend income to their shareholders over time.
Financial services company Aviva (LSE: AV) is one such example, with its forecast dividend yield for 2026 standing at 6.6%.
Using that figure as a guide, a £10,000 investment in Aviva could deliver dividends of approximately £660, though share price movements mean this is not an exact science.
When the share price rises, the yield falls, and when the price drops, the yield increases, all other things remaining equal.
Aviva’s income credentials extend beyond its headline yield, with management building a solid record of increasing its total dividend in recent years.
CEO Amanda Blanc has made progress in streamlining the Business to focus more on its home market, with operating profit jumping 25% to £2.2bn in 2025, helping the insurer hit its 2026 targets a year early.
Despite these positives, dividends are never guaranteed, and like all companies in the financial sector, Aviva’s outlook remains tied to the broader health of the economy.
When economic difficulties arrive, conditions could become challenging, which is precisely why the term “forecast yield” reflects analyst predictions rather than certainties.
Spreading investments across several income-generating stocks reduces the risk that comes from backing only a single company, even one as established as Aviva.
Aviva could act as a strong starting point for a new investor exploring passive income opportunities, though it remains far from the only option worth considering.