Experian’s latest data shows a drop in mergers and acquisitions (M&A) activity in the UK during the first half of 2025, reflecting economic uncertainty and a cautious business environment.
Deal volumes fell by 16% in H1 2025 compared to H1 2024, according to Experian’s MarketIQ report. Total values also declined, despite a slight quarterly increase, pointing to continued market headwinds for businesses.
Against this challenging market backdrop, HCR Law has remained resilient and retained its position as the UK’s leading legal adviser for M&A transactions, with notable growth in deal activity.
Since 2019, HCR Law has risen from fourth place to consistently hold the top spot for UK M&A deal volume, regularly advising on transactions of up to £300m in value. That momentum has continued: comparing the first six months of the current fiscal year to the same period in 2019, HCR Law’s Corporate team has achieved a 98% increase in national M&A activity.
The Corporate team has grown into a renowned practice comprising over 100 specialist corporate professionals. In 2024, the team successfully completed 420 transactions, reinforcing its position as a leading adviser in the UK M&A market.
Experian’s latest rankings place HCR Law first in the UK by a margin of 43 deals, demonstrating the Corporate team’s far-reaching capacity to deliver on transactions.
M&A activity across the South West
HCR Law continues to lead the M&A market in the South West, retaining its top ranking and reflecting a sustained period of regional growth. In a further sign of the firm’s commitment to the region, Partner Rachael Reeves was appointed Head of South West Corporate within the last six months.
In the first six months of the current fiscal year, the team achieved a 155% increase in M&A activity compared to the same period in 2019. This growth has been driven by rising client demand and strategic expansion.
The recent Legal 500 2026 rankings reinforce this momentum, with the Corporate and Commercial team retaining its regional ranking.
Commenting on the regional M&A market, Rachael said: “While national M&A volumes have slowed, the South West remains resilient thanks to its strong SME base and entrepreneurial culture. Private equity interest is steady, with investors drawn to the region’s innovative businesses and growth potential.”
The region offers a wealth of opportunities. Its thriving tech and digital sectors are set to benefit from the Golden Valley cyber park in Cheltenham, which will create a national hub for secure tech and innovation. Advanced manufacturing is also on the rise, supported by the Great South West Manufacturing Investment Plan, which aims to position the region as a premier location for UK manufacturing.
Meanwhile, the South West’s well-established aerospace industry continues to lead in aviation technologies, while green energy projects such as Floating Offshore Wind (FLOW) and the Dorset Clean Energy Super Cluster (DCESC) place the region at the forefront of the UK’s clean energy transition.
Rachael continued: “Compared to national trends, mid-market and bolt-on acquisitions are more common here, reflecting the region’s appetite for strategic expansion.”
Environmental, social and governance priorities are also driving deal activity, with businesses seeking capabilities that support innovation and sustainable growth.
However, challenges persist. Talent shortages in high-growth sectors, economic headwinds and limited access to finance for smaller businesses are all affecting deal structuring and completion.
Even with market headwinds, HCR Law’s Corporate team continues to demonstrate resilience and adaptability, helping clients navigate complex transactions and seize opportunities for growth.
Richard Wilkey, Head of Corporate at HCR Law, said: “Despite the challenges in the UK’s M&A landscape, our latest Experian rankings reflect the strength of our client relationships and the depth of our experience. Our reputation for specialist expertise, particularly in the PE mid-market, and client-focused advice has kept us at the forefront of dealmaking as we move into the second half of the year.
“Our clients are at the heart of everything we do. We support them through key decisions at every stage of their business journey, from early growth to strategic acquisitions, and their continued trust in HCR is something we value deeply.
“Our Corporate team continues to deliver a high volume of complex, international and high-value deals, even in tough market conditions. The team is also growing across England and Wales, with several senior hires this year – a clear sign of our momentum and commitment to client success.”
