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Special Situations M&A in the UK: 2025 Market Dynamics and Outlook

February 24, 2026
By James Pratt, Dion Salmon & Sarah Hutchings

UK distressed and special situations M&A accelerated in 2025, generating £1.7bn in proceeds and safeguarding more than 73,000 jobs as companies turned to restructuring and transaction solutions to navigate sustained economic pressure. This report examines the market dynamics shaping UK distressed M&A and corporate carve-out activity, and provides a 2026 outlook for special situations dealmaking. 

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The views and opinions in these articles are solely of the authors and do not necessarily reflect those of Teneo. They are offered to stimulate thought and discussion and not as legal, financial, accounting, tax or other professional advice or counsel.

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