The London Stock Exchange (LSE) is poised for a resurgence in initial public offerings (IPOs) this year, signalling a potential turnaround after a prolonged dry spell. Data from Dealogic shows a notable pick-up in IPO activity in the second half of 2025, although still well below the levels seen in the last strong year of 2021.
The mini-revival will come as a relief for both the LSE and Chancellor Rachel Reeves, who has been trying to talk up the benefits of investing in equities for long-term investors. The dearth of new listings in recent years has been an embarrassment for the exchange, especially after it failed to land the listing of Arm Holdings in 2023.
The largest IPO in 2025 was the Texas-based data centre real estate group Fermi, which conducted a dual listing with the US Nasdaq exchange. Other well-known UK names that went public included the £1.2bn tinned tuna maker Princes Group, which raised £400m, and the specialist lender Shawbrook.
LSE chief executive Julia Hoggett is optimistic about the year ahead, arguing that the “momentum this year is very much a sign of what is to come, with many companies actively preparing for a listing in London next year.” This sentiment is echoed by Brian Hanratty of broker Peel Hunt, who notes that “we have seen confidence gradually grow with IPO issuers, who have been encouraged by the activity that has come to market.”
The pipeline for 2026 looks promising, with the potential listings of Oslo-based software giant Visma, worth at least €20bn, and the Bristol-based veterinary group IVC Evidensia, which operates in 19 countries. Other possibilities include the RAC roadside recovery business, the combined Waterstones and Barnes & Noble bookshop chain, fintech payments platform Ebury, and online travel agent Loveholiday.
However, a market downturn could stall progress, and London still needs an injection of freshness. The payments firm Wise announced a switch of its primary listing to the US in 2025, while the natural churn of takeovers and delistings continued to reduce the ranks of public companies in the UK capital.
Reeves’ announcement of a three-year post-IPO stamp duty holiday for firms listing in London is a modest giveaway, but it could still be politically useful if the IPO market comes to life at the same time. An improvement is overdue and needs to last longer than just six months to truly signal a sustained recovery.
