A comprehensive analysis by GP Bullhound has found that UK fintech valuations are stabilising after a prolonged period of correction from the peaks reached in 2021 and early 2022. The advisory firm's annual fintech report, published on Monday, shows that the median revenue multiple for UK fintechs raising Series C and later rounds fell to 8.2 times in the twelve months to January 2026, down from 22 times in 2021 but broadly in line with the 7.5 to 9 times range at which publicly listed UK fintech peers such as Wise and CAB Payments currently trade.

The convergence between public and private market valuations has significant implications for the IPO pipeline. Companies that raised at inflated valuations during the boom years have had to accept flat or down rounds in private markets, but the narrowing gap means that an IPO no longer necessarily represents a markdown from the last private valuation. GP Bullhound identified at least twelve UK fintechs with revenues exceeding £200 million that could realistically pursue public listings in 2026 without taking a valuation haircut, including Revolut, Monzo, Starling, and OakNorth.

However, the report cautioned that macro uncertainty and the Bank of England's cautious approach to rate cuts could temper investor appetite for fintech IPOs in the near term. Transaction volumes in UK fintech M&A remained robust at £14.3 billion across 87 deals in the past twelve months, with private equity accounting for 41 per cent of total deal value. The authors concluded that 2026 is likely to see a bifurcation between a small number of marquee IPOs from the largest UK fintechs and continued take-private activity among smaller listed players trading below intrinsic value.