The firm’s most recent M&A study has revealed that 42 transactions took place compared to 51 last year, with an overall value of £3.3 billion compared to five-year high of £3.5bn in 2022.

Across the UK as a whole, 675 mid-market transactions were completed during the year, representing a 10% drop when compared to the 735 transactions completed in 2022. Meanwhile, the UK Private Equity market overall witnessed a more significant decline, with the total volume of deals down by 20% from 1,802 in 2022 to 1,451 in 2023.

Graeme Williams, head of corporate finance M&A for Scotland, said: “It was always going to be tough to match the record breaking numbers of 2022 but, despite a slight dip, the figures in 2023 are cause for optimism in Scotland.

“2024 will be a year of upheaval and change, with a General Election in the UK as well as major elections in the US and elsewhere on the horizon, and therefore the future is difficult to predict.

“This might mean a tough road ahead for the country and businesses in general, but I believe there are more than green shoots for firms of all shapes and sizes, with many facing an exciting future.

“It can only be hoped that we can overcome this period of instability and return to a more stable deals market during the coming 12 months.”