UK Private Equity Annual Public Reports

Highlights from this year’s PERG reports

Walker portfolio companies did not achieve a similar level of good additional disclosure in their audited financial statements this year, with only 56% doing so to at least a good standard and the remaining 44% doing so to a basic standard. (2024: 43%). This year’s Walker Guidelines process highlights how businesses are responding to an increasingly complex operating environment, shaped by shifting market dynamics, geopolitical tensions and evolving regulatory requirements, in particular around sustainability.

It was positive to note that the number of addendums required this year has significantly fallen this year (26% vs 52% in 2024), following the increase over the last two years.

The quality of disclosure in respect of social, community and human rights issues has significantly improved compared to last few years, and the quality and depth of the disclosures in relation to environmental matters has improved once again.

Common areas for improvement remain evident across the population. Many companies still struggle to provide clear, quantified financial KPIs and to link these metrics explicitly to strategy.

All BVCA members in scope included information on their website about themselves, their investors and their portfolio companies.

The vast majority of portfolio companies upheld their transparency requirements and published annual reports and mid-year updates in a timely manner (74% and 84% respectively).

In 2024, portfolio companies reported YoY growth in organic revenue (0.1%) and EBITDA (6.9%) which, similar to 2023, is more closely in line with YoY growth levels in previous years of the study before 2020.

YoY growth in reported revenue and reported EBITDA for current portfolio companies has been higher than the public company benchmark for five out of nine years and four out of nine years, respectively.

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Published 10 December 2025

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Published 10 December 2025

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Invested for the long term

The average timeframe of private equity ownership of portfolio companies is 6.1 years and the current portfolio companies within scope of the Walker Guidelines have been owned for an average of 4.9 years.

Invested in people

The portfolio companies within scope of the Walker Guidelines are some of the largest businesses in the UK, employing over 540,000 employees across the country.

Private equity’s investment in employees typically increases both year on year and over the duration of private equity ownership. Average employment cost per head increased by 2.9% in 2024 compared with 2023, just below the long-term trend and the UK private sector benchmark of 5.1% growth over the same period.

Backing and building British businesses

Portfolio companies are collectively buying more than selling. 65% have made net bolt-on acquisitions whilst 14% have made net partial disposals.

Portfolio companies outperformed the public company benchmark on long term revenue on a reported basis.

There is a wide range of results in 2024 for long-term trading performance at a sector and company level. In the current portfolio companies, reported revenue growth for the sectors other than consumer was higher than both the consumer sector and the public company benchmark.

Generating returns

Equity return from Walker portfolio company exits in the last 17 years is 3.0x the public company benchmark. Around 58% of the additional gross return can be explained from the higher levels of financial leverage employed, with the balance being private equity strategic and operational improvement.

Using debt to fund acquisitions

Across the total Walker portfolio, the debt ratio averaged 6.5x at the time of initial investment by the PE and 6.8x at the latest date or exit, indicating that while debt has grown under private equity ownership it is at a marginally higher rate to growth in profit.

By sector, debt has reduced under private equity ownership in the 2 of the 6 categories (see EY report for full details).

Debt levels applied to portfolio company investments are typically higher than public company benchmarks. 64% of portfolio companies have a debt-to-EBITDA ratio – a common measure of profit – above 5x, versus 12% of publicly listed companies.

Read the reports

Published 10 December 2025

Read the press release

Published 10 December 2025