The UK healthcare mergers and acquisitions (M&A) market remained resilient in 2025, with investors focusing on high-quality, defensive assets despite economic and geopolitical uncertainty. Heligan Group’s Reflecting on 2025: UK Healthcare M&A report recorded 280 deals, broadly flat from 2024, even as overall UK dealmaking fell 10–15%.

Health and social care-led activity accounted for 47% of deals, driven by consolidation in care homes, pharmacies, and community-based providers. Pharma and life sciences made up 22%, medical equipment and devices 17%, and healthcare IT 15%.

Ramesh Jassal, Partner, Corporate Finance, Healthcare at Heligan Group, said: “2025 proved to be a year of resilience rather than expansion for UK healthcare M&A. Investors remained cautious but committed, with capital flowing towards high-quality assets offering scale, asset backing, and operational resilience.”

Premium assets such as diagnostics, digital health, and biopharma platforms drew strong interest, while large elderly care deals, including acquisitions by US-based real estate investment trusts (REITs), shaped the year. Strategic buyers accounted for 83% of transactions, focusing on synergies and bolt-ons, while private equity remained selective despite significant dry powder.

Domestic deals made up 57% of activity, with the US the leading source of inbound investment and primary outbound destination.

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