Gambit Corporate Finance LLP’s Debt Capital Markets Review for Autumn 2025 examines the latest developments in the debt markets, providing insight and analysis into the current lending landscape.
Despite inflation sitting above the BoE’s target, the base rate has been lowered from 5.25% in September 2023 to 4.00% in August 2025 through five quarter-point reductions.
Although uncertainty persists due to anticipated UK domestic budget announcements and geopolitical risks, lending appetite remains. There are encouraging signs:
- Lending to large corporates has improved significantly
- Lending to SMEs is now experiencing a positive rate of growth
- Dividend recaps feature highly within private equity portfolios
- Significant repricing activity has been seen given the favourable debt market conditions
- The UK outperformed European peers and continues to lead in both leveraged loan and private credit activity
As private markets continue to be competitive and borrowing conditions remain attractive, it is essential to leverage the expertise of experienced corporate finance advisors to be well-prepared for discussions with financial institutions.
Contact Gambit’s award-winning Debt Advisory team: Jason Evans, Sam Farrell, Harrie Thorrington and Oscar Webb
