Consolidation in UK Physiotherapy: Investor Strategies Across NHS, Private and Occupational Segments

UK Physiotherapy Consolidation: Market Overview

The UK physiotherapy market is undergoing a period of structural change, as demand pressures and private capital combine to drive consolidation across the sector.

Rising NHS backlogs, an ageing population, and increasing levels of workplace absence linked to MSK conditions have created strong demand across three distinct segments:

NHS-Funded Physiotherapy Services

NHS Services, including First Contact Practitioners (FCPs) and community MSK contracts. These models are relieving pressure on primary and secondary care by embedding physios directly into GP practices or providing outsourced physiotherapy services for referred patients in community settings. Larger operators such as Connect Health / Healthshare, Ascenti and Pure Physiotherapy (now part of ExamWorks) have established scale through multi-year NHS contracts. The merger of Connect and Healthshare in 2024 created one of the largest independent providers of community MSK care in the UK.

Occupational Health Physiotherapy

Occupational Health Physiotherapy, where employers are taking a more proactive approach to workplace MSK health. With over 23 million working days lost each year to MSK conditions, the commercial rationale is clear. Despite this, no operator has emerged as a clear market leader in occupational health physiotherapy. Sano Physiotherapy, backed by Solingen Private Equity, has built a strong position in the segment through its acquisition of Back in Action, alongside its NHS and private work.

Private Pay and PMI-Funded Physiotherapy

Private Pay and PMI-Funded Physiotherapy, where patients are turning to self-funded options or private insurance in response to long NHS waits. While this market remains highly fragmented, it is starting to consolidate. Bodyset, backed by Osmond Capital, is expanding primarily through the organic opening of new clinics, while Kinetico, supported by York Street Capital, is actively acquiring private physio practices.

Physiotherapy Sector M&A Trends

Ascenti, backed by bd-capital, has pursued a hybrid model across all three segments, combining organic growth with a series of acquisitions, most of which have been made via its private clinic platform, Six Physio, including deals for Bodies Under Construction and Chelsea Home Physio.

Investor appetite is being driven by the opportunity to build scalable, tech-enabled providers that can deliver multi-channel services across NHS, employer and consumer payors. With demand rising and the benefits of scale increasingly apparent, physiotherapy is fast becoming one of the more active areas of UK healthcare M&A.