As we move into 2026, the tone of conversations we are having with business owners feels different.

Less tentative. More purposeful.

For several years, economic and political uncertainty has dominated decision-making. Inflation, interest rates, tax changes, geopolitics and shifting governments combined to create a sense that it might be better to wait. Many owners told themselves, “not this year”, and then told themselves the same thing again the following year.

What we are seeing now is a shift.

Rather than waiting for the perfect set of conditions, many owners are accepting that uncertainty is part of the backdrop and choosing to make decisions within it – particularly around succession, future ownership and what comes next for them personally.

Uncertainty is no longer the blocker

For a long time, uncertainty acted as a brake on big decisions. That is changing.

Owners are recognising that there may never be a moment when everything feels settled. Instead, they are asking more practical questions: What options do I have? What would a sale look like? What do I need to do now if I might want to exit in two or three years’ time?

This does not mean rushed decisions. If anything, it reflects more thoughtful engagement earlier in the process.

Capital is available, but deployed with discipline

From a buyer’s perspective, capital is available again. Debt markets are functioning more normally, private equity funds continue to hold significant capital to deploy, and strategic buyers are back looking for growth.

Buyers are active and prepared to engage, but they are selective. They are backing scalability, resilience and operational robustness – and expecting the story to evidence those strengths clearly.

For owners, this reinforces the importance of preparation. In a disciplined market, how a business is positioned and presented matters more than ever.

A more realistic approach to value

The exceptional conditions of 2021 left a long shadow over valuation expectations. For a period, that made conversations harder than they needed to be.

That recalibration now feels largely behind us. Expectations between buyers and sellers are closer, discussions are more grounded, and processes are moving forward more constructively.

The data supports this. Deal volumes have been more measured, but average deal values have increased. This is not a volume market, but it is a value-led one.

A very human driver sits alongside the market dynamics

Alongside these market factors, there is a very human driver at play.

Many founders and family owners are reaching a point where fatigue, succession and life stage are front of mind. After several demanding years, some are simply ready to simplify, de-risk and plan their next chapter.

We are hearing more conversations that start with “Do I still want to be doing this in five years’ time?” and then quickly move to “What could this business be worth, and what would need to change to get there?”

Those are often the most important starting points.

International interest remains strong

International interest in UK private companies also remains a meaningful feature of the market. Sterling weakness and relative pricing continue to make the UK look good value, particularly given the quality of businesses across sectors such as professional and business services, engineering, manufacturing and healthcare.

This overseas interest, when harnessed properly, can create competitive tension and improve outcomes for sellers.

What this means for owners

Overall, the UK private company M&A market feels more open and more workable than it did a year ago.

Confidence is returning. Decisions that were paused while owners waited for greater certainty are now being actively explored. The direction of travel feels positive, even if the environment remains complex.

For owners considering a sale in the next 12–24 months, this is often the right moment to start engaging. Early conversations allow time to prepare properly, clarify the value drivers and present the business in a way that stands up to scrutiny, rather than reacting under pressure later on.

At Corbett Keeling, our role is to help owners navigate that process thoughtfully – helping them achieve stronger outcomes in cash received, providing confidence that a deal will complete, and ensuring there is genuine chemistry with the buyer. Historically, our advice has resulted in a significant uplift in sale value – often around 40% – and a completion rate of approximately 90%.

If you are starting to think about what comes next for your business, even at a high level, an early conversation can make a real difference.

This and more in the Q4 2025 edition of UK Private Company Director.