Actuarial Consulting Services in the UK Industry Market Research Report Now Available from IBISWorld

London, United Kingdom (PRWEB) August 15, 2013

Firms operating in the Actuarial Consulting Services industry use statistical models to assess risk in order to put a price on it and mitigate the cost. The Pension Funding industry is the largest downstream market of the industry, accounting for over 40.0% of industry revenue. Insurance, investment banking and other financial services firms are also important markets.
The industry has performed relatively well over the past five years despite the difficult conditions engulfing the UK economy. As a result, industry revenue is expected to grow at a compound annual rate of 3.5% over the five years and reach £1.7 billion in 2013-14. According to IBISWorld industry analyst Iyman Uvais, “demand from the Pensions Funding industry remained soft due to the challenging conditions facing the industry and the continued shift from defined benefit to defined contribution schemes”. Nevertheless, demand from other downstream industries gained momentum and enabled the industry to return to moderate growth from 2010-11. The introduction of various new regulations increased demand and supported revenue growth. In 2013-14, revenue is forecast to grow by 4.6%, thanks to the introduction of the auto-enrolment pension scheme, which came into effect in October 2012. Higher lending activity and the introduction of the Basel III regulation is anticipated to push up demand from banks. The persistent volatility in financial markets will stimulate demand from investment banks and fund management firms that rely on actuarial consultants to help them make prudent investment decisions. Industry profitability is expected to improve over the five-year period, supported by rising activity levels and falling competition due to mergers and acquisitions.

Over the five years through 2018-19, industry revenue is forecast to continue to grow. Uvais adds, “the auto-enrolment scheme will raise demand for actuarial consultants' services because the number of employees enrolled in pension schemes is expected to rise sharply over the next five years”. However, the continued shift from defined benefit to defined contribution schemes will restrict the extent of growth. Demand from other downstream markets is also projected to rise and contribute to growth. The introduction of more regulation in key downstream markets will further support growth. Higher demand and the use of more technologically advanced risk management systems are forecast to help the average industry profit margin improve.

The Actuarial Consulting Services industry has a high level of market share concentration, since the top four firms are estimated to account for 72.5% of industry revenue. However, there are also a number of small, medium-size and non-employer firms that offer specialised services or operate on a regional or local basis. Major companies include PricewaterhouseCoopers, Towers Watson, Deloitte, Ernst & Young and KPMG.

For more information on the Actuarial Consulting Services industry, including latest industry trends, statistics, analysis and market share information, purchase the full report from IBISWorld, the nation’s largest publisher of industry research.

IBISWorld industry Report Key Topics

Firms in this industry assess risk and uncertainty by using statistical models, then create policies to minimise the cost of that risk to their clients. The industry excludes actuaries that are employed in-house by non-consulting firms such as insurance companies.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
International Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on many UK industries. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in London, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.co.uk or call (020) 3008 6568.

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