Financial consultancy Marsh Berry has said the number of merger and acquisitions in the insurance distribution sector for the year to date stands at 95, which was down by 34% on the 144 recorded at the same point last year.

Marsh Berry said that in addition to there being fewer deals, those done had been smaller and there was also a reduced number of large transactions. It said there had only been five transactions with a value of more than £100m. As a result, 2025 will not exceed total deal value of £4bn, as done in each of the past three years.

John Nisbet (pictured), managing director of MarshBerry’s UK office, stated: “One continuing bright spot in M&A activity in the UK has been in deals involving specialty targets, by which we mean wholesale brokers (including Lloyd’s brokers) and delegated underwriting authority enterprises.”
He added: “Such firms are reportedly now forming at a faster rate than commercial brokers, typically have the potential to grow more rapidly on an organic basis (as wholesale business is less sticky), and are in high demand.

“Private equity, overseas buyers, domestic consolidators of Lloyd’s brokers, MGAs and commercial business are all keen to acquire in the specialty segment. In 2025 YTD 23% of all deals have involved a specialty target, the highest proportion in the past five years.”