While not a flood following a dry spell, yet the climate improved for public offerings in the UK capital during the past year. The initial six months was severely lacking as President Trump's tariff agenda disrupted markets: fundraisings from flotations hit a low point in a miserable run beginning 2022. Yet figures indicate a notable pick-up in deal flow in the latter six months, albeit still well below the volumes of 2021.
A Welcome Development for the Market and Treasury
The modest recovery will have come as a relief for each of the London Stock Exchange and the Treasury. For the LSE, the scarcity of fresh IPOs – as opposed to fundraisings by already listed companies – has become an embarrassment in the past few years, especially after London lost the high-profile listing of chip designer Arm Holdings in 2023. Meanwhile, Reeves is advocating for the benefits of investing in stocks, a endeavor that is more straightforward when there is a regular stream of IPO candidates.
The Newcomers
Hardly any of 2025's newcomers qualify as household names. The biggest listing was Texas-based property firm Fermi – and that was a simultaneous listing with the US Nasdaq exchange. Better-known UK names included the £1.2bn tinned tuna maker Princes Group, which raised £400m, and the financial services firm Shawbrook.
"The pipeline in 2025 is very much a sign of what is to come, with numerous firms gearing up for a IPO in London in 2026," states exchange CEO Julia Hoggett.
She is probably correct. Stock markets are elevated, which motivates shareholders to monetize their stakes. Additionally, the merry-go-round of private equity funds trading portfolio companies may have reached its natural limit; the public markets, the more traditional venue, looks relatively more attractive.
The 2026 Pipeline
A key early IPO of 2026 is anticipated to be Oslo-based Visma, one of the continent's largest tech firms, with 17,500 employees. London is competing to be the venue – Stockholm has been making a late challenge – but investment banking advisers are already appointed. Visma, long-supported by British private equity firm Hg Capital, is thought to be at least €20bn, easily sufficient to enter the premier index.
Additional candidates include:
- Bristol-based veterinary group IVC Evidensia, whose route is more defined following a regulatory review. It operates 2,700 sites in 19 countries.
- The RAC roadside recovery business (and potentially the AA as well).
- The combined Waterstones and Barnes & Noble bookshop chains.
- Fintech payments platform Ebury and online travel agent Loveholidays.
A market downturn would likely delay plans, but the schedule of flotations appears healthier than it has since the last boom. "We have seen confidence slowly return with IPO issuers, who have been encouraged by the recent deals," observes Brian Hanratty of investment firm Peel Hunt.
The Need for Freshness
Yet London definitely needs an wave of innovation. Amid the modest recovery, fintech company Wise disclosed a transfer of its main market quote to the US. At the same time, the ongoing attrition from M&A and departures kept shrinking the number of listed firms; by the close of autumn, there were fewer than a thousand companies with a premium quote in London, a decrease from 972 at the beginning of the year.
As part of fiscal policy, the chancellor announced a temporary tax break for new listings. This limited relief on the levy on stock transactions is just one element for companies and their backers. But, it would prove advantageous if the IPO market gathers pace in tandem. A sustained recovery is long awaited – and needs to last longer than six months.
