Scottish Dental Market Trends in 2025

Image: Adam Wilson for Unsplash

The Scottish dental market is experiencing notable growth, with strong buyer demand and growing transaction volumes despite external challenges. Activity levels are at their highest in recent years, with independent buyers and small-group operators driving momentum.

Following a strong finish to 2024, the start of 2025 is seeing a surge in practice viewings and a significant increase in both new practices brought to the market and the number of practices that are under offer compared with this time last year.

Types of Practices on the Market

A diverse range of practices are available across Scotland including private, NHS, and mixed-income models. Private practices are particularly sought-after, offering greater flexibility and strong profitability. Both single-surgery and multi-surgery practices are attracting interest, with buyers increasingly prioritising those with a balanced income stream.

Buyer Appetite

Scotland’s dental market remains predominantly led by independent buyers, reflecting broader UK trends. Demand remains robust, driven by a mix of independent buyers, first-time owner-operators, and smaller groups. Corporate buyers are gradually re-entering the market, encouraged by stabilising interest rates and opportunities for strategic acquisitions.

Expectations for the Rest of the Year

We expect the positive trajectory seen so far in 2025 to persist. Independent buyers will likely remain the driving force behind market activity. Corporate buyers, on the other hand, are expected to be more selective in their acquisition approaches, assessing purchases with greater scrutiny than ever before.

Sellers should be aware of impending changes to Business Asset Disposal Relief (BADR), which will see the tax rate increase from 10% to 14% in April 2025 and to 18% in April 2026. These changes may prompt some sellers to accelerate their plans to capitalise on the current tax benefits. Additionally, rising National Living Wage rates and higher National Insurance contributions could affect practice profitability.

As it typically takes six to nine months to sell a dental practice, it’s advisable for those considering an exit to act soon to ensure completion before the April 2026 tax deadline.

If you’d like to discuss the Scottish dental market in more detail, contact Kevin: kevin.strain@christie.com or 07701 315 069