• Swindon & Wiltshire Economy
• Monday February 23 2026

South West private equity deals hold steady in 2025 despite market uncertainty

Total private equity investment activity in the South West held steady in 2025, according to the latest UK Private Equity Review from KPMG UK.

The comprehensive annual study into private equity deal activity found that 127 transactions were completed in the South West last year, a marginal rise of 4 per cent year-on-year.

According to the report, the South West and wider UK market confidence was affected by geopolitical tensions, tariff uncertainty and ongoing economic challenges throughout 2025.

Deal activity in the South West was level across both halves of 2025, with 64 transactions completed in H1 and 63 in H2.

Private equity exits were also steady year-on-year, with 18 against 17 last year. In 2025, exit activity was stronger in the first half of the year, with a total of 10 exits completed, compared to seven completed in the second half.

Bolt-ons remained the most common deal type year-on-year, with 83 completed, as investors looked to build scale in their existing platforms. This was followed by minority investments, of which 20 were completed – a slight increase from 18 the year before.

The South West’s private equity interest accounted for seven per cent of the total private equity backing in the UK.

John Levis, head of corporate finance in the South West at KPMG UK, said: “The Private Equity community continued to see bolt-on acquisitions as a pathway to deploying capital amid challenging market conditions throughout 2025.

“It’s great to see private equity transactions across the South West grow year-on-year, supporting regional businesses in delivering their growth ambitions.

“The South West is one of the country’s most vibrant dealmaking environments, with fast-growing businesses continuing to attract significant investor interest.

“We’re optimistic the region’s strengths in sectors such as technology and energy will see deal activity accelerate in 2026.”