Reuters interviews fund manager on UK equity valuations, takeovers and London listings under new PM
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Summary
The segment examines whether newly appointed Prime Minister Andy Burnham can revive the UK stock market. It highlights years of outflows, steep valuation discounts, and heavy takeover activity eroding the London market, then questions what policy steps could restore confidence and attract listings. A second portion addresses London's exposure to AI and growth stocks versus defensive names. The interview features fund manager Gregor Patterson of Amati Global Investors as the sole guest, citing market multiples, takeover statistics since 2023, and investor behavior. No other sources or data visuals are referenced.
Editorial Assessment
Valuations of 12-13x earnings with meaningful discounts to Europe and the US are directionally consistent with recent data, though current trailing figures vary and forward multiples have edged higher. The narrative of sustained takeover outflows and a thin IPO pipeline matches broader reporting on London listings. The prominent assertion that Andy Burnham is the freshly appointed PM finds no supporting evidence in contemporaneous coverage and appears to be an error or hypothetical. The discussion correctly notes many UK firms earn globally but omits counterpoints such as domestic policy risks or pension fund allocation rules that also influence flows. Overall the piece provides useful context on structural challenges while resting on one unverified premise.
Key Moments
UK stocks trade at 12-13x earnings, 30-40% discount to Europe and 35-45% to the US
Forward P/E multiples near 12-13x and persistent discounts to global peers documented in multiple 2025-2026 analyst notes.
Since 2023, 156 London-listed companies taken over with £170bn combined market cap
Takeover wave is real and outpacing new listings, but the precise 156-company / £170bn aggregate is not confirmed in available deal data.
Andy Burnham is the freshly appointed Prime Minister promising a new economic model
No reporting identifies Burnham as UK Prime Minister in 2026.
London IPO pipeline has all but dried up
Recent tallies show only a handful of large new listings, far below historical norms.
Notable Concerns
- Claim that Andy Burnham is the current UK Prime Minister lacks any corroboration