The coronavirus pandemic and Brexit hampered deal activity between the UK and continental Europe in 2020, with the number of European businesses bought by UK acquirers falling by nearly a third.

Last year was a record for foreign takeovers of UK companies, with 734 UK firms acquired by overseas buyers in 2021 —reflecting a 400% rise since 2015.

The impact of concerns over Brexit and Covid-19 saw takeover deals in Europe by UK investors slump last year, according to new figures.