Takeover deals fall to 10-year low in the UK

The number of takeover deals struck in the UK in the past three months is set to fall to its lowest level for more than a decade.

Accountants Grant Thornton said that since the start of July just 402 mergers or acquisitions have been announced - a fall of a third on the 600 struck in the second quarter.

Stephen Baker, corporate finance partner at Grant Thornton, said: "Even though it is normal for deal activity to drop in the third quarter, the latest statistics show a drop in the number of takeover bids from domestic, foreign and private equity bidders compared with both the previous quarter and the previous year."

So far this year, deals worth £63.8 billion have been announced, down from £71.7 billion in the same period last year.