Business Sector - Heating, Ventilation & Air Conditioning (HVAC)
What is a HVAC business worth in 2026?
A clear guide to value, demand and buyers in the UK heating, ventilation and air conditioning sector, with real, anonymised deal outcomes.
What these businesses are worth
Most profitable UK HVAC businesses change hands at roughly 4.5 to 6.5 times adjusted EBITDA. Larger, well-run operators with recurring revenue reach 7 to 9 times, and scaled platforms can achieve more. Value turns far more on the shape of a business than its size.
4.5x–6.5x
SME
£500k to £2m EBITDA
7x–9x
PLATFORM-READY
£2m to £10m EBITDA
9x +
PLATFORM-READY
£2m to £10m EBITDA
As an illustration, a business with £600,000 of adjusted EBITDA and a healthy maintenance book might be valued near £3.3m, while the same profit in an install-only, owner-run business could attract closer to £2.4m. The difference is what owners can plan for. Find out your number with a free valuation.
What is driving demand
The UK heating, ventilation and air conditioning sector is worth around £23.6bn and is forecast to grow to roughly £28.7bn by 2031.
Three forces are pulling buyers in:
Who is buying
What buyers pay a premium for
These lift a business up its valuation band, and most can be built in the 12 to 24 months before a sale:
What pulls value down: heavy reliance on new-build installation, customer concentration, owner dependency and informal accounting.
Recent deals in the sector
Scotland
HEATING & PLUMBING
8.5x EBITDA
A domestic and commercial heating business, circa £10m turnover, acquired by a UK trade consolidator in 2025. A strong recurring maintenance book lifted the multiple.
East of England
RETROFIT
3.8x EBITDA
A heat pump and retrofit specialist, circa £23m turnover, acquired by a national infrastructure group in 2025. Install-heavy work kept the multiple keen despite growth.
East of England
COMMERCIAL HVAC & M&E
4.8x EBITDA
A building services firm into healthcare, life sciences and defence, circa £30m turnover, acquired by US private equity in 2022 as a buy-and-build platform.
South East
M&E & HVAC
10x EBITDA
A scaled engineer into property and data centres, circa £60m turnover, acquired by an overseas strategic buyer in 2020. Scale and contract quality drew a premium.
Illustrative third-party transactions, anonymised by size band, region and descriptor. Multiples are enterprise value to EBITDA and indicative only. Source: published M&A transaction data.
How to find out what yours is worth
The only way to know your number is a proper valuation that reflects how a real buyer would assess your earnings, your risk and your readiness. Hilton Smythe produces a free, confidential indicative valuation for HVAC and plumbing owners, with no obligation. It is the first step on the Built to Exit journey.
Frequently asked questions
Most profitable businesses sell for around 4.5 to 6.5 times adjusted EBITDA, rising to 7 to 9 times for larger, well-run operators with recurring revenue, and 9 times or more for scaled platforms. The figure depends on recurring income, owner dependency, customer concentration and the quality of the accounts.
On a multiple of adjusted EBITDA. The accounts are normalised to show true underlying earnings, then a multiple is applied based on size, recurring revenue, contract mix, management depth and financial quality.
Trade consolidators, private equity buy-and-build platforms, overseas strategic buyers and individualbuyers or search funds for smaller firms. Private equity is currently the most active.
Recurring maintenance revenue above 40% of turnover is the biggest driver, followed by heat pump and MCS accreditation, a commercial contract mix, a second-tier management team and clean accounts.
Begin with an indicative valuation, shape the business to lift its value over the lead time before sale, then run a confidential, competitive process. A free, no-obligation valuation from Hilton Smythe is a sensible first step.
Find out what your HVAC business is worth
A free, confidential indicative valuation for HVAC and plumbing owners. No obligation, just a short conversation.