Fidelity: The best places to go for UK income stocks

Dividend cuts are so last year - stocks beat gilts and corporate bonds for income seekers, explains fund manager Michael Clark.

Clark, who runs the £462 million Fidelity Income Plus fund, says the market can be viewed as a superior alternative to gilts, corporate bonds and deposits.

But he warns that government cuts have caused UK-focused companies to rein in their spending plans, potentially pushing us into a double-dip recession, and urges investors to buy defensive companies with international exposure such as AstraZeneca.

Clark also explains why he's currently investing in manufacturing and utilities stocks.

Filmed by Fidelity International