News Snapshot:
– Kingsley Napley’s May 2025 survey: 27% already funded, another 19% actively courting investors.
– 86% of top-60 firms were approached by PE (Private Equity) houses during 2024 alone.
– Grant Thornton closed the UK’s biggest PE deal in April 2025: Cinven in, partners pocket £682k each.
– Tenzing-backed DJH Mitten Clarke notched its sixth regional buy-out: extending its Greater Manchester footprint in July 2025.
What this means for accounting firms
| Factor | Effect |
|---|---|
| Price Squeeze Ahead | PE-fuelled networks can operate more efficiently, enabling them to undercut local fee structures. |
| Talent Magnets | Larger firms offer more attractive benefit packages and clear equity exit paths to lure top talent. |
| Tech Expectations | Features like client portals & real-time dashboards are becoming standard expectations. |
| Exit Opportunities | Well-run, niche-focused firms with steady EBITDA may become desirable acquisitions or valuation benchmarks |
What's the Industry saying?
Julie Matheson, partner, Kingsley Napley.
“Our survey confirmed that firms see the upside of private equity but remain anxious about compliance pitfalls.”
Nila Khan, Executive Director, Accelerate network.
“There are very few £20 million firms left to buy; PE houses will soon be calling on practices turning over £1-2 million.”
Scott Heath, CEO, DJH Mitten Clarke.
“This partnership reinforces our commitment to growth through culturally aligned firms and serious investment in people.”
What should your accounting firm do?
1 - Focus on client Relationships
This is your edge against the bigger firms to retain customers and attract new. Focus on delivering value and fostering long term relationships with your clients.
2 - Niche, Niche, Niche
Double-down on a sector or speciality (e.g., tech, hospitality, etc.) that roll-ups struggle to replicate.
3 - Leverage Partners
Foster relationships with partners to fill expertise gaps (e.g. Tax, R&D, MTD, etc.) or seasonal resource challenges to deliver more value for your clients.
How we can help your accounting firm?
Mergers and acquisitions are important parts of our growth framework when it comes to scaling an accounting firm (Please check out that article in our news section if you haven’t yet).
If you’re a local accounting firm that wants to understand the implications more please schedule a chat below. We are here to support local accounting firms! Schedule your no obligation chat below:
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