In this article we draw on the latest forecasts from Source’s MegaModel to analyse opportunities in the consulting market. Overall, it is fair to say that growth during 2025 is likely to feel like gradual improvement, rather than any sudden shift. However, the activities of the new US administration could change that picture (either way) at short notice, and we will share any significant changes after our next quarterly forecast in late February.

Energy & resources:

For the third year in a row, the energy & resources consulting market has the highest predicted growth rate, with a 9% rise forecast for 2025. This is well ahead of the consulting market average of 5% and should see the market passing $25bn in 2025.

As in all sectors, investment in technology will be a priority in the year ahead (both to power expansion plans but also to allow clients to continue to deliver on their productivity and resilience goals). Consulting lines of business that are set to flourish here include cybersecurity (with 11% growth forecast), data & analytics (13%), and more general technology services (8%).

While clients in energy & resources have ambitions to grow, they also recognise the need to navigate risks and remain resilient in an environment of continuing economic and political uncertainty. Risk services will be in high demand (with 11% growth forecast) and businesses will continue to rethink and reshape their business models with the green agenda in mind—indeed, clients in this sector say that their top priority this year is ESG & sustainability. However, we will need to watch to see how the new US government’s stance on decarbonisation impacts this goal in that region.

Looking for the best geographical opportunities, the GCC is set to remain a fruitful market, with an impressive 21% growth forecast for 2025, with the US also offering a healthy opportunity of 10% growth.

Pharma:

The pharma consulting market is forecast to grow by 8% in 2025—the second highest growth rate we’re expecting to see. This should allow this consulting market to continue its steep growth trajectory after the whole market dipped in 2023. While in absolute size, pharma is the smallest sector we cover (with our data signalling that it finally hit $10bn in 2024), this attractive consulting market is forecast to overtake energy & resources as the fastest growing sector in 2026.

Once again, uncertainty and the need to respond in an agile way within a fast-moving market is reflected in the rapidly growing services lines: Demand for cybersecurity is set to grow by 13% this year. and risk work by 12%.

Clients in this sector say that transformation—both digital and business—is their top priority, closely followed by process improvement. Productivity and operational efficiency are also at the heart of clients’ plans in this sector and are set to offer opportunities for firms, including work encompassing data solutions, automation advice, and robotics. This is reflected in an impressive 12% growth forecast for data & analytics work, and solid growth of 7% in the broader tech category, which remains the biggest line of business in pharma. Firms will likely also be called on to support innovation and AI implementation as customer demand for personalised medicine grows.

The important markets in the US, UK, and DACH are forecast to remain the three largest, with growth rates of 8%, 9%, and 7% respectively. Meanwhile, India, the GCC, and Nordics are three small but healthily growing markets that are worth flagging.

TMT:

The TMT market looks set to rebound somewhat in 2025. Having languished at around 2.4% growth in 2024, it is forecast to edge above the 5% sector average this year and reach a growth rate of 6% and a value of around $25bn. In terms of subsectors, growth is likely to be distributed unevenly: High-tech is set to lead the way, with growth of around 8% forecast for 2025. The media and telecoms sectors have less bullish outlooks of 5% and 4% growth, respectively.

Clients in this sector say their top priority is upgrading their technology, with transformation and contingency planning also high on their agendas—unsurprising, perhaps, since TMT clients’ business models rely on cutting-edge innovation, and clients will need to keep ahead of ambitious competitors and guard against malicious agents in this space.

This is closely reflected by the lines of business that are forecast to offer the biggest opportunities for firms in 2025. Technology consulting remains the largest service line, accounting for around a quarter of the market and continuing to grow in line with the consulting market average of 5%. Cybersecurity is the second largest line of business and is forecast to grow by around 8% in 2025 as clients seek to protect their tech-reliant business models and from highly damaging or even existential threats. Data & analytics work is forecast to grow at a very healthy 9% as businesses prepare to get the most from their investments in AI and other emerging technologies. And while design & user experience work is set to grow at a lower rate of 6%, it remains an important service line for TMT clients and is expected to pass the $2bn mark in 2025.

The US holds by far the biggest opportunity, totalling just under half of the market, with a value of over $10bn and growth of 7% expected in 2025. The GCC (as it continues to deliver its global growth plans) and South East Asia are also forecast to grow at impressive rates of 12% and 9% respectively.

 

Financial services:

The largest and pivotal consulting market, financial services, had a disappointing year in 2024, with sluggish growth of around 2%. This is expected to improve to match the sector average of 5% in 2025. In more positive news, nine in 10 financial services clients expect to increase their use of consultants in the year. Given that the sector totals just under a third of the consulting market and is forecast to reach around $83bn in 2025, improvements in this important market should be a relief for firms.

When asked about their current goals, financial services clients highlight technology upgrades, ESG, and process improvement as priorities. Demand for cybersecurity, data & analytics, and risk work is set to grow at an above average rate, reflecting the trends in the wider market. Meanwhile, sustainability & ESG work remains a small but growing service, in a sector where clients need help navigating significant volumes of regulation.

When it comes to subsectors, banking continues to underperform, with growth for 2025 forecast to nose up towards 4%. Private equity is expected to lead the way, with a forecast of 7% growth—fuelled by a thawing deals market—closely followed by investment & wealth management, with its growth forecast of 6%. The US market, which accounts for over a third of the global total, should match the average growth rate of 5%, but firms looking for hotspots could consider the GCC (set to expand by 11% in 2025) and India (10%

Public sector:  

The public sector has fallen down the table to become the slowest growing market in our forecasts for 2025 and 2026, with revenues set to rise by 3% this year and 5% the next. As the public sector represents the third-largest opportunity for consultants, accounting for around 10% of the market and with a value of $27.5bn forecast for 2025, this will be disappointing news for firms.

However, clients in this sector remain ambitious and are prioritising areas including ESG & sustainability, technology upgrades, and reducing business complexity, with the biggest areas of consulting spend in 2025 set to be cybersecurity, technology, risk, and operations.

Spending on defence is set to prop up the market, accounting for around a third of the total with a spend of $9.9bn forecast for 2025 and a growth forecast of 6%. Meanwhile, demand in the education and not-for-profit sub-sectors are set to flatline.

Bright spots globally are likely to be in the GCC, where 10% growth is forecast for 2025, South East Asia (9%), and India (9%).

However, new administrations in the US and UK, the two largest public sector consulting markets, say they want to double down on efficiency meaning this sector could come under more scrutiny and face increased pressure to reduce its reliance on external support.  This is reflected in our forecasts, with the US market set to grow at a below-average rate of 3% and the UK set to contract by 1% in 2025. ESG & sustainability work looks set to come under particular pressure in the US. But history tells us that when governments target consulting work in the public sector for cuts, the impact is rarely as severe as threatened: A combination of skills and capacity challenges means clients ultimately still have to engage firms if they want to get work done. This will certainly be the market to watch throughout 2025.

Other sectors:

Healthcare: Like its close peer, pharma, healthcare is another relatively small but rapidly growing consulting sector. It is hovering just under a forecast value of $20bn for 2025 and growing at a rate approaching 8%.

The usual favourite lines of business predominate here, too, with cybersecurity, data & analytics, and risk all set to grow at between 9 and 11%. However, other small but fast-growing services that are worth highlighting include deals, financial management, and forensic work.

Manufacturing: While growth in the manufacturing consulting sector is forecast to be a very average 5% in 2025, this is an improvement on the previous year when it looks to have achieved just 2%. However, manufacturing remains an important consulting sector—the second largest, totalling roughly 15% of the market with a value of around $42bn in 2025.

Aerospace and consumer packaged goods are the leading subsectors, both with 6% growth forecast for 2025. South East Asia is one of the more inviting markets with a value of $1.8bn and a growth rate of 10% forecast for 2025.

Services: The relatively small services sector (comprising 7% of the market) has shadowed the average growth rate over recent years, and looks set to do the same in 2025, growing at 5% and reaching a value of around $20bn.

Transportation is the highlight, with a forecast of 6% growth, whereas leisure and real estate are set to lag behind.

Retail: This sector has hovered around the bottom of sector growth tables since 2023 and looks set to underperform again in 2025, with growth of just 4%, up from around 1.8% in 2024. A lack of consumer confidence and the impact of cost pressure are still at play. However, firms looking for opportunities should keep in mind that (away from the usual cyber, data, and risk opportunities) clients say their priorities are technology upgrades, process improvement, and ESG & sustainability.

What can firms do next?

There will be much more detail and insight into all consulting sectors in our upcoming Market Trends report: Forecasts for 2025. We’ll explore which clients expect to spend more and how much, set out their spending priorities by sector, and take a granular look at the opportunities in each market. This popular report will be published in February 2025. To be alerted when it is published, please get in touch.