2 UK dividend shares I’d buy in my Stocks and Shares ISA and hold forever!

The tough economic landscape casts a shadow over dividends. But don’t worry. I think these two top UK shares should be big payers in 2021.

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The euphoria which pushed UK share markets northwards at the start of 2021 has fizzled out in recent days. The steady rollout of a Covid-19 vaccine provides a chink of light for investors to latch onto. But optimism over the pandemic fight is being tempered by spiking infection rates.

The emergence of new Covid-19 variants and returning lockdowns across the globe provide a serious threat to a strong economic recovery this year.

Will 2021 be a better year for dividend chasers than last year? The economic outlook remains fraught with danger as the coronavirus crisis rolls on and on. Brexit provides another possible fly in the ointment for UK-focussed shares.

But it looks like conditions for corporate earnings could bounce strongly during the second half. And this is bound to have a positive effect on investor income flows.

Here are two top UK shares I’d happily buy for my Stocks and Shares ISA today. I reckon they’ll pay BIG dividends in 2021 despite the threat of a weak economic recovery.  And I expect them to deliver spectacular shareholder returns all the way through to the end of the decade too.

#1: The self-storage star!

Big Yellow Group (LSE: BYG) doesn’t offer the biggest dividends. But a forward yield of 3.1% smashes the current rate of inflation and beats the respective readings of many UK shares. Besides, it’s a great bet for those seeking strong dividend growth year after year. Big Yellow has raised the annual dividend by 36% during the past half a decade.

The domestic economy is struggling, sure. But the self-storage providers continue to enjoy a roaring trade. Big Yellow saw like-for-like revenues rise a healthy 6.6% during the final three months of 2020. This was “our best occupancy performance in the third quarter for many years,” the UK share said.

And occupancy has continued to grow during the company’s fourth fiscal quarter as well.

#2: A UK share I own in an ISA

Buying warehouse and logistics facilities owners is another great way to play UK property in 2021. This is because their operations are critical to retailers, couriers and manufacturers of fast-moving consumer goods in the age of e-commerce. I’ve bought Tritax Big Box REIT shares in my ISA to get rich from the online shopping explosion. Today, it carries a chunky 4% forward dividend yield.

There are other reasons why this UK share is a particularly good way to stay protected from the struggling British economy too. The rising role of automation in British business is one.

Tritax Big Box’s enormous list of financially-robust blue-chip tenants (such as Kellogg’s, Tesco, DHL and Amazon) is another. This ensures that rent rolls remain robust too. Latest financials revealed the business expected to collect 99% of rents for the final quarter of 2020 by the end of November.

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Royston Wild owns shares of Tritax Big Box REIT. The Motley Fool UK owns shares of and has recommended Amazon. The Motley Fool UK has recommended Tesco and Tritax Big Box REIT and recommends the following options: long January 2022 $1920 calls on Amazon and short January 2022 $1940 calls on Amazon. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

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