Should UK savers and investors watch foreign takeover boom?
If you have money in a UK savings account, pension pot or investment portfolio, a major shift is happening in the stock market that’s worth understanding — even if company takeovers sound boring.
Foreign companies and investment firms are buying up British businesses at record speed. By May 2026, they’d made £192 billion worth of bids — three times more than the same period in 2025. Big names like Tate & Lyle (the sugar and ingredients company founded in 1921) and Schroders (the wealth manager) are being circled by American and European buyers willing to pay premium prices.
Why does this matter to you?
If you hold UK shares directly, or own them through a pension or investment fund, foreign takeovers can mean your investment suddenly jumps in value. For example, when Swedish private equity firm EQT bid £9.4 billion for testing company Intertek, the share price jumped 18 per cent. Spire Healthcare shares rose over 33 per cent this year amid takeover speculation.
The reason foreign investors are so keen is simple: they think British companies are cheap compared to what they’re actually worth. The UK stock market has underperformed compared to tech-heavy US markets, partly because the FTSE 100 lacks big tech and AI companies. This creates opportunities for savvy international buyers — and potentially for UK investors too.
What you should do
This isn’t a reason to rush into the stock market or chase quick profits. Instead, if you have a long-term investment plan (through a pension, ISA or general investment account), this is a reminder that UK shares may be undervalued right now. Many fund managers and investment experts are quietly recommending UK investors take a closer look at British companies.
If you don’t have investments yet and want to explore this, start with a stocks and shares ISA — the tax-free way to invest in the UK market. Speak to a financial adviser before making any decisions, especially if you’re investing a large sum.
The key message: foreign predators circling British businesses might just be signalling that now is the time for patient UK investors to reconsider British shares.