Total private equity investment in Scotland increased 35.6% in 2024 to £9.4 billion, according to the latest UK Private Equity Review from KPMG UK.

The volume of private equity deals in Scotland increased from 92 to 111 year-on-year.

Private equity investment in Scotland accounted for 5.9% of total new PE backing in the UK.

London continued to deliver the greatest interest from PE funds, attracting £78.1 billion of investment, ahead of the North West of England (£20.0 billion) and the South East of England (£15.8 billion).

“The findings reflect a period in which the UK experienced a more stable economic climate, with interest rates and inflation falling; greater political certainty following elections; and a surge in transactions ahead of anticipated changes to Capital Gains Tax,” said KPMG.

Graeme Williams, Head of Corporate Finance in Scotland at KPMG UK, said: “Scotland’s 35.6% growth in private equity investment last year shows just how resilient and attractive the country has become for investors.

“With greater economic stability and strong deal activity, cities like Edinburgh and Glasgow are leading the charge, securing billion-pound deals that highlight Scotland’s ability to draw major investment across a range of sectors.

“It’s clear that Scotland remains as a dynamic and competitive market within the UK, and we would hope to see increased activity again this year as interest rates continue to ease.”