"With the Autumn Budget now unveiled, we're seeing a
breadth of measures that will shape the M&A landscape in the
coming months. The Chancellor's tax adjustments, particularly
those concerning capital gains tax, are going to have an immediate
and major impact on deals across both the buy-side and
sell-side."
"For investors and private equity firms, the adjustments in
capital gains tax could impact exit strategies, compounded by a 4%
increase to the carried interest capital gains tax rate,
potentially compressing returns across the industry. Sellers may
look to fast-track their timelines to maximise tax efficiencies
before changes take hold, while buyers will need to tweak valuation
models to ensure they stay competitive in the market."
"The increase in employers' national insurance
contributions, aimed at raising £20 billion for public
services, will also affect business costs, which could have a
knock-on effect for potential sellers with a high employee
count."
"With a new fiscal landscape laid out for businesses,
there's a clear need for thorough tax planning and portfolio
management to ensure alignment. As the transaction environment
evolves, organisations and investors must remain agile in response
to these regulatory changes to seize M&A opportunities
effectively."
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