UK Mid-Market Pulse: Q1 2026
UK Mid-Market Pulse Q1 2026
Valuation Multiples by Sector
The UK Mid-Market Pulse is North Star Partners' quarterly review of valuation multiples across the UK mid-market, drawn from over 250 listed companies with enterprise values between £20m and £300m. It tracks how public market multiples are moving by sector and sets out what those movements imply for private equity and private credit portfolio valuations. This post summarises the headline findings for Q1 2026.
Public market valuations compressed broadly in Q1 2026, with 9 of 11 sectors de-rating quarter-on-quarter. Media & Communication led the decline at -28.6% QoQ, followed by Consumer: Food & Beverage at -22.9% and Hardware & Electronics at -19.9%. The Iran conflict acted as the dominant macro event of the quarter, amplifying pressure across sectors already facing structural headwinds. The only sectors to record gains were Consumer: Leisure, Home & Auto at +2.4% and Financials at +0.5%. These contractions are expected to flow through to private equity portfolio valuations.
| Sector | Adopted Multiple | Q1 '26 | Q4 '25 | QoQ Δ% |
|---|---|---|---|---|
| Best Performers | ||||
| Consumer: Leisure, Home & Auto | EV/EBITDA | 8.0x | 7.8x | +2.4% |
| Financials | EV/EBITDA | 7.4x | 7.3x | +0.5% |
| Consumer: Retail | EV/EBITDA | 6.8x | 7.0x | -7.4% |
| Worst Performers | ||||
| Media & Communication | EV/EBITDA | 5.6x | 7.8x | -28.6% |
| Consumer: Food & Beverage | EV/EBITDA | 7.9x | 10.0x | -22.9% |
| Hardware & Electronics | EV/EBITDA | 10.5x | 13.2x | -19.9% |
| Sector | Adopted Multiple | Q1 '26 | Q4 '25 | Q1 '25 | QoQ Δ% | YoY Δ% |
|---|---|---|---|---|---|---|
| Materials & Industrials | ||||||
| Specialty Materials | EV/EBITDA | 7.6x | 8.3x | 6.1x | -8.3% | +24.9% |
| Industrials | EV/EBITDA | 7.5x | 8.2x | 8.3x | -8.3% | -10.2% |
| Professional Services | ||||||
| Professional Services | EV/EBITDA | 7.9x | 9.3x | 11.4x | -15.5% | -30.5% |
| Consumer | ||||||
| Consumer: Food & Beverage | EV/EBITDA | 7.9x | 10.2x | 9.3x | -22.9% | -18.0% |
| Consumer: Retail | EV/EBITDA | 6.8x | 7.0x | 6.4x | -7.4% | -12.6% |
| Consumer: Leisure, Home & Auto | EV/EBITDA | 8.0x | 7.8x | 9.9x | +2.4% | -19.0% |
| Health Care | ||||||
| Health Care | EV/EBITDA | 11.2x | 12.3x | 11.9x | -8.5% | -5.4% |
| Financials | ||||||
| Financials | EV/EBITDA | 7.4x | 7.3x | 5.7x | +0.5% | +29.9% |
| Technology, Media, & Telecommunications | ||||||
| Software & Data | EV/Revenue | 1.8x | 2.2x | 2.1x | -18.2% | -13.3% |
| Hardware & Electronics | EV/EBITDA | 10.5x | 13.2x | 10.3x | -19.9% | +2.4% |
| Media & Communication | EV/EBITDA | 5.6x | 7.8x | 5.8x | -28.6% | -3.7% |
The full UK Mid-Market Pulse Q1 2026 report, including sector commentary, sources and methodology, is available here.
