Changes in the pensions market, alongside regulatory reforms, are set to drive sustained demand for advisory and administration services, XPS Pensions Group has said, as it latest accounts revealed further growth in its total group revenue over the past year.

The group said that “seismic” changes are taking place as funding levels improve, workplace pensions are ranking high on the political agenda and the Pensions Schemes Bill being recently tabled in parliament.

XPS Pensions Group co-CEO, Paul Cruff, said the group is also "positive" on the outlook for the pension fee market and continues to see a considerable runway of growth in the years ahead.

Indeed, the group’s full-year results for the year ending 31 March 2025 show a 18 per cent year-on-year increase in total group revenue, adjusted and excluding the National Pensions Trust (NPT).

The results also showed that the total advisory revenues grew 10 per cent year-on-year, from £113.7m in the financial year of 2024 to £125.5m in the financial year of 2025.

Actuarial and consulting growth was up 14 per cent year-on-year driven by continued growth in risk transfer and GMP projects.

Meanwhile, the investment consulting business declined by 4 per cent year-on-year, as activity levels returned to normal after having grown by 46 per cent over the previous two years.

Additionally, the update revealed that pensions administration grew by 30 per cent year-on-year, an increase from £71.9m in the financial year of 2024 to £93.7m in the financial year of 2025.

The company credited this growth to the onboarding of new client wins and one-off McCloud remedy projects.

The results showed that the XPS Pensions Group had successfully delivered on the McCloud project in administration, by delivering 100 per cent of member statements within its gift by the statutory deadline.

According to the results, revenues in the self-invested pension (SIP) business grew 15 per cent year on year due to “strong” underlying sales.

The 2025 financial year also saw XPS Pensions Group onboard the John Lewis Partnership pension scheme administration contract ahead of schedule, as well as launch its new Radar functionality to support the “run on versus buyout” debate.

Additionally, the group completed the acquisition of Polaris Actuaries and Consultants Limited on 28 February 2025 to expand its service offering and accelerate growth in the £1.5bn+ insurance consultancy market.

Cruff said XPS are “delighted” that for the third year in a row, it has achieved “really strong growth” and are reporting another “excellent” set of financial results.

“There have been many highlights this year. Our clients have faced many challenges and opportunities, and we are proud of how well we have looked after them,” Cruff said.

“In the public sector, our work on McCloud was a huge challenge, but we rose to it and delivered successfully for the members of the schemes we administer.

“In this area, we are very well placed to help others who have not yet completed their McCloud projects.

“We have seen growth in other areas that we have been investing in, and in particular it has been good to see our risk transfer team go from strength to strength, advising on a number of the largest deals to come to the market this year."

Adding to this, XPS Pensions Group co-CEO, Ben Bramhall, said it has been “exciting” to welcome new colleagues to the group with the acquisition of Polaris.

“The integration is progressing to plan, and we are pleased with a very positive response from clients and our people,” he said.

“XPS now has a strong capability to provide support to both pension schemes and insurance companies in the evolving world that both operate in.”

---