• Swindon & Wiltshire M&A, deals
• Friday August 7 2026

UK private equity interest in South West up in first half of 2026

Total private equity deals in the South West and Wales rose in the first half of this year, according to KPMG UK’s private equity pulse.

The mid-year study into private equity deal activity found that interest in the region grew by 14 per cent compared to H1 2025, with 72 deals completed.

Private equity exits in the region also increased marginally in H1 2026, with nine transactions completed compared with eight in H1 2025.

The findings come despite a backdrop of economic uncertainty, influenced by ongoing geopolitical developments and concerns surrounding the wider impact of AI across many sectors.

Bolt-ons remained the largest component of private equity activity across the South West and Wales, with 51 completed, making up 71 per cent of all deals.

Minority transactions were the second largest deal type with 10 (14 per cent) deals, followed by traditional buyouts, including leveraged buyouts, of which there were six (eight per cent).

Investment in the South West and Wales accounted for eight per cent of the total new PE backing in the UK. Deal activity by volume increased across four other UK regions in the first half of 2026 – the South East, North West, Yorkshire and the North East – compared with the first half of 2025.

John Levis, head of corporate finance across the South West & Wales at KPMG UK, said: “The growth we’ve seen in deal volumes across the South West and Wales is encouraging, particularly when you set it against the national picture.

“What’s driving that resilience is the quality of businesses investors are finding across the region, in sectors like aerospace, advanced manufacturing, life sciences and food & drink.

“The policy environment – with a focus on devolution, combined with the Defence Investment Plan – has given investors more confidence to move on opportunities with strong fundamentals.

“The bolt-on space has been particularly resilient because there are well-run businesses looking to scale through acquisition.

“Once clarity comes around AI and the geopolitical picture settles, I think we’ll see that confidence translate into momentum across other deal types through the second half of the year.”