Which denominations of Islam regard mermaid meat as halal?
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If the mermaid was a real creature:
Dhahiris, Malikis, Shafi'is, Hanbalis considered the mermaid meat halal.
Ibn Hazem said:
As for that which lives in the water and cannot live anywhere else, it is all halal no matter what state it is in, whether it is caught alive and then dies, or it dies in the water and then floats or does not float, whether it was killed by a sea creature or a land animal. It is all halal to eat, whether it is the pig of the sea, a mermaid, or a dog of the sea and so on. It is halal to eat, whether it was killed by an idol-worshiper, a Muslim, a kitabi or it was not killed by anyone...
Imam al-Saawi in his commentary said:
The words “or a ‘dog’ or a ‘pig’ also include a ‘human’, referring thereby to mermaids.
Only the Hanafis considered it haraam:
Ibn Aabideen said:
Anything other than fish and the like, such as mermaids and dolphins, is impure and remains prohibited.
(Radd al-Muhtar vol.6)