Value of UK deals rockets as buyers pounce on FTSE 100 firms
The value of UK merger and acquisitions more than doubled in the first half of 2026 as foreign buyers capitalised on sluggish valuations to pick off some of Britain’s most valuable companies. Takeovers worth some £124bn were struck in the first six months of the year, up 107 per cent year-on-year from £60bn in the [...]
UK merger and acquisitions (M&A) activity reached unprecedented heights during the first half of 2026, with the total value of deals soaring over 100% year-on-year. According to a report from PwC, global investors snapped up a staggering £124bn worth of UK companies in the six months leading up to September 2026, a dramatic increase from the £60bn recorded in the same period of 2025.
This surge in M&A activity, despite a 13% drop in the number of deals to 1,301, was driven by foreign buyers capitalising on the UK market's weakened valuations.
A handful of high-profile transactions accounted for nearly two-thirds of the total value, with Unilever's £33.4bn sale of its food division emerging as the biggest deal. This transaction not only topped the list but also drove up the value of consumer markets deals by an astonishing 486%. The Unilever deal, announced in April, initially faced shareholder resistance due to concerns over the speed of the process; however, it ultimately contributed to the rapid growth of UK M&A activity.
The London Stock Exchange has experienced a surge of takeovers in recent years, with major players being delisted from the market. In particular, Nuveen's £10bn acquisition of Schroders, Zurich's £8bn bid for Beazley, and Ingredion's £2.7bn purchase of Tate and Lyle have led to the delisting of these significant UK firms. As of September 2026, announced acquisitions of UK-listed public companies had reached a record high of $132.5bn, nearly triple the $48.2bn recorded in the same period of the previous year.
The rapid pace of M&A activity in the UK has prompted calls for action from officials, with fears of a potential exodus from the City market. Recent high-profile deals, including the trio of London-listed firms - Bodycote, Gamma Communications, and energy company Capricorn - accepted bids from foreign buyers, all valued over £3bn.
Charles Hall, head of research at Peel Hunt, emphasized the need for companies, capital, and talent to respond to the increased competition and warned of the dangers of complacency in the UK M&A landscape.
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