Dental practice market grows by 12.3% in 2017
The dental practice market grew by 12.3% through 2017, according to the latest figures from Christie & Co.
That is the strongest growth experienced across all the sectors Christie & Co specialises in and continues the upward growth from 2016, where practice sales rose by 14.9%.
The trading sectors included in the Christie & Co summary are:
- Dental: + 12.3%
- Childcare: + 10.8%
- Pharmacy: + 8.1%
- Care: + 6.1%
- Hotels: + 5.8%
- Pubs: + 3.8%
- Retail: – 0.4%
- Restaurants: – 3.4%.
‘Consolidation was a key trend in the dental sector throughout 2017,’ Simon Hughes, managing director – medical at Christie & Co, said.
‘Following a number of mergers and acquisitions affecting some of the largest providers, the sector experienced significant changes to its corporate landscape.
‘We also saw a number of newly formed groups emerge, offering a “partnership” model, which are expected to increase in the New Year.
‘Activity in the independent sector remains strong and will continue to expand.
‘Accompanied by an increase of private equity activity, we can expect investment to grow rapidly throughout 2018 as investors are showing interest in both small groups and large individual practices.
‘The dental sector will experience high demand and good market liquidity in 2018.’
‘Plenty of room for growth’
Experts are now expecting a period of increased confidence through 2018, after this latest report.
‘We are seeing the signs of increasing confidence and economic positivity in almost every sector in which we operate and pipelines continue to grow by double digits as we enter 2018,’ Chris Day, global managing director at Christie & Co, said.
‘Whilst higher inflation and sluggish wage growth are squeezing consumer spending and acting as a drag on the speed of UK growth, and a lack of clarity around Brexit is hampering some investment, but there are positives.
‘Unemployment is at its lowest rate since 1975, inflation remains low, interest rates are stable and manufacturing growth is strengthening.
‘In short, the economy is recovering and there is still plenty of room for growth.’