Dentists Who Invest Podcast – Episode 466 Dental Goodwill Valuations In 2026 with Luke Moore
The latest Dental Elite Goodwill Report paints a fascinating picture of the UK dental practice market. Whilst headlines often focus on rising goodwill values, market bubbles and corporate consolidation, the reality is far more nuanced.
The data tells a story of resilience, changing buyer behaviour and a profession that continues to attract ambitious clinicians looking to build businesses as well as careers.
The “Goodwill Bubble” That Never Burst
One of the most common concerns we hear from buyers and sellers alike is whether dental practice values have become unsustainable.
The figures suggest otherwise.
When viewed over a ten-year period, goodwill values have remained remarkably stable. Whilst there have been fluctuations – most notably during the post-pandemic period – the overall trend is one of steady growth rather than dramatic inflation.
For example, the average Fair Maintainable Trade (FMT) multiple was 3.32 in 2017. In 2026, it sits at 3.31.
Despite economic uncertainty, inflation, changing governments, rising employment costs and a global pandemic, dental practices have continued to demonstrate resilience as an asset class.
This stability is one of the key reasons confidence remains high amongst both buyers and lenders.
A New Generation of Practice Owners
One of the most notable shifts we’re seeing is the renewed appetite for ownership amongst younger dentists.
For a period, many associates appeared content to remain career associates. However, over the last 12–24 months, we have seen increasing numbers of dentists looking to purchase their first practice much earlier in their careers.
Many are entrepreneurial, commercially aware and keen to create something of their own.
They’re building personal brands, investing in private dentistry, embracing digital marketing and actively exploring how practice ownership can provide greater autonomy and long-term wealth creation.
Practice ownership is no longer simply viewed as the next career step. Increasingly, it is seen as a strategic business decision.
Why Practices Remain Attractive Investments
When compared with other investment opportunities, dental practices continue to offer a compelling proposition.
Property investors face increasing regulation and taxation pressures. Commercial property remains challenging in many areas. Financial markets continue to experience volatility.
Against that backdrop, dental practices have demonstrated consistent demand and strong profitability.
Perhaps most importantly, demand for dental services remains robust.
Patients continue to invest in their oral health and appearance, and practices have generally been successful in adjusting fee structures to reflect increased operating costs.
This has helped many practices maintain – and in some cases improve – profitability despite inflationary pressures.
Principal Profitability Continues to Rise
One of the strongest findings from this year’s report is the continued increase in principal earnings.
Whilst many practice owners rightly point to rising costs, the data suggests that well-run practices have largely been able to offset these pressures through fee increases, efficiency improvements and growing demand for private treatments.
The result is that principal profitability has increased significantly over recent years.
At the same time, associate remuneration has not increased at the same pace.
Private associate percentages have gradually shifted away from the traditional 50% model in many practices, particularly where principals have invested heavily in marketing, patient acquisition and infrastructure.
This has further strengthened the commercial case for ownership.
Easier Access to Finance Is Supporting Growth
Another major driver of activity is the lending market.
Banks remain highly supportive of dental acquisitions and continue to view dentistry as a low-risk sector.
More flexible lending structures, longer repayment terms and increasingly competitive rates are making practice ownership more accessible than ever before.
Many buyers are now able to structure acquisitions in ways that preserve cash flow and allow them to invest in growth immediately after completion.
This accessibility is helping to maintain strong demand across the market.
The Market Is Moving Faster
Perhaps the clearest indication of demand is the speed at which practices are selling.
Across the market, quality opportunities are attracting significant levels of interest, with multiple bidders becoming increasingly common.
In many cases, practices are securing strong offers within weeks of being launched to market.
For sellers, this creates a highly favourable environment.
For buyers, it reinforces the importance of preparation, finance readiness and the ability to move quickly when the right opportunity becomes available.
The Return of the Corporate Buyers
The corporate market has also seen a significant shift.
Over the last year, larger dental groups have become increasingly competitive again, particularly when it comes to deal structure.
Historically, deferred consideration and earn-out arrangements often made corporate offers less attractive than those from independent buyers or smaller groups.
Today, many larger groups are returning to the market with far more competitive terms, including substantial upfront payments and simplified acquisition structures.
This renewed competition is helping to drive strong valuations across the sector.
Could NHS Practices Be the Next Growth Story?
One of the most interesting developments highlighted in this year’s report is the growing demand for NHS practices.
Changes to NHS contract arrangements, including updates to fluoride application and unscheduled care remuneration, are creating new opportunities for practices to improve profitability.
As a result, NHS goodwill multiples have increased significantly and are now outperforming many mixed and private practice transactions.
Several larger groups have already recognised this trend and are actively pursuing NHS opportunities.
If current policy changes continue, NHS practices could become one of the most sought-after segments of the market over the coming years.
Looking Ahead
If there is one clear takeaway from this year’s Goodwill Report, it is that the dental practice market remains fundamentally strong.
Despite economic uncertainty, demand remains high, financing remains accessible and both independent buyers and corporate groups continue to compete for quality opportunities.
The market may evolve, but the underlying fundamentals that make dental practice ownership attractive remain firmly in place.
For buyers, sellers and practice owners alike, understanding these trends will be essential in making informed decisions over the next 12 months.
To explore the latest market data in more detail, download the full Dental Elite Goodwill Report and discover the trends shaping the future of dental practice ownership.