This is absolutely normal for this type of design.

Leakage inductance in the

transformer interacts with mosfet drain capacitance and when the mosfet
open circuits there is a parallel tuned circuit with remnants of energy in the
leakage inductance and you naturally get a decaying sinewave.

It is because of the center tap. Look at the left part of the transformer only.
You have two inductors in series. When you pull one inductor to ground a
current starts to flow and the other (magnetically coupled) inductor will try
to induce the same current, pushing the other transistor's drain voltage up
until it breaks down.

If your power supply voltage is 25V and the transformer (and switching)
was absolutely perfect, you would see 50V on the drains of the MOSFETs
and that is a fact. Your MOSFETs should be rated at at least 100V.

Imagine the centre tap of the primary is like the fulcrum of a see-saw; you
pull one side down to ground and magically (or not) the other side rises to
twice the power supply voltage. The two halves of the primary are strongly
coupled and this is what you get with coupled inductors (aka a transformer)
irrespective of the secondary and what load is on it.

The ringing is because the transformer aint perfect - not every bit of
magnetic energy supplied supplied via the centre tap will be induced into
the open circuit winding - you have leakage inductance and a toroid (for
instance) is good if you can get better than 98% coupling.

The 2% that isn't coupled still takes energy from the supply and it has
nowhere to go when that side of the transformer goes open circuit. What it
finds is the open circuit drain capacitance of the MOSFET and it "rings" and
this ringing can be deadly serious too.

Rate your transistors at a higher voltage, apply a 33V zener and diode
snubber back to the centre tap from each drain (at least this way you can
steal a bit of energy back).

Looking to your circuit: The transformer has so called leakage inductance.

This causes the voltage spike during turn-off. To reduce this spike, you
need to add a snubber (can be RC circuit, tranzorb or combination of RC
and D, or a capacitor only when using zero voltage crossing).