Sectors: Where activity is concentrating
Across the UK mid‑market, repeat acquisition activity appears to continues to cluster in areas where fragmentation, operational complexity and recurring revenue combine to create attractive potential for scalability, positive synergy benefits and/or other consolidation upside.
The business services sector occupies a significant position with this trend. Across both PE‑backed platforms and corporate acquirers, it has delivered the most consistent flow of bolt‑on transactions over the last five years. [The attraction appears to be [structural as much as it is cyclical[S&B1] ]: sub‑sectors such as compliance, [facilities‑adjacent services], outsourced specialist support and infrastructure‑linked services remain fragmented, regionally embedded and operationally scalable[S&B2] .]
The business services sector occupies a significant position with this trend. Across both PE‑backed platforms and corporate acquirers, it has delivered the most consistent flow of bolt‑on transactions over the last five years. [The attraction appears to be [structural as much as it is cyclical[S&B1] ]: sub‑sectors such as compliance, [facilities‑adjacent services], outsourced specialist support and infrastructure‑linked services remain fragmented, regionally embedded and operationally scalable[S&B2] .]
Business services: Deals over the past 5 years
2021
2022
2023
2024
2025
Business services as a whole has followed a similar pattern to that of the overall buy-and-build market, notwithstanding fluctuating M&A trends applying to sectors within it. Insurance for example, has been the subject of intense focus for more than a decade and appears to be going through a natural period of slightly slower activity as prolific acquirers reach a certain scale, new well-backed entrants establish their position and direction and a period of material consolidation is followed by a re-growth and sufficient maturity of suitable and willing targets.
Insurance: Deals over the past 5 years
2021
2022
2023
2024
2025
[For non-PE-backed corporates in particular, sector focus is pronounced. The majority of repeat acquirers in the sample pursue focused strategies within sectors where they already have a presence, using acquisition, for example, to deepen technical capability, extend geographic reach, secure production and/or supply chains and generally steadily grow shareholder value.]
We see buy‑and‑build as a long‑term operational strategy rather than a financial cycle. The focus is on specialist, asset‑light businesses with strong management teams, where repeated acquisitions add capability and resilience over time. Discipline on sector focus and integration is what allows momentum to be sustained across cycles.
Corporate acquirer perspective (placeholder quote for Diploma or similar)