UK recruitment companies find themselves in a challenging position in 2025, as they face rising costs and persistent economic uncertainty – headwinds that are also impacting the wider UK jobs market. In spite of these challenges, the sector has continued to see strong M&A activity, with deal volume in 2024 up by close to 50 per cent compared to 2023.
Trade buyers, private equity firms, venture capital investors and overseas buyers continue to target deals in the UK’s recruitment market, attracted by the strong core value drivers that the sector has exhibited over recent years in extremely tough conditions.
In the exclusive full-length version of this month’s insight, available to BSR subscribers, we take a deep dive into the trends currently shaping M&A in the recruitment sector, including:
How trade buyers have established themselves as the most active acquirers
Tech integration, niche expertise and strong management team – The range of factors that are attracting private investors to the sector
How bolt-on deals have become private equity’s M&A model of choice
The growing prominence of overseas investors
In addition, we also examine the various challenges the sector faces, from a weak job market, rising costs and the impact of Trump’s tariffs, to sluggish valuation multiples and the growing competition trade buyers could contend with over the coming years.
This well-established B2B wholesaler specialises in cask ales, continental lagers, and craft cider, boasting exclusive access to a diverse range of products from renowned breweries.
Exeter high street pharmacy offers a prime opportunity in a suburban location, dispensing approximately 9,000 items per month.
LEASEHOLD
An established bar and restaurant manufacturer and fit-out contractor in Lancashire is available for acquisition, offering a unique opportunity for entry or expansion in the hospitality industry.
Looking for more businesses? Try our off-market tool.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.