Government Advisory Services Market Report 2025

The government advisory services market size has grown strongly in recent years. It will grow from $43.6 billion in 2024 to $47.93 billion in 2025 at a compound annual growth rate (CAGR) of 9.9%. The growth during the historic period can be attributed to increasing regulatory complexity, a rising demand for transparency and accountability, growing privatization of public services, expansion in the number of businesses, and a surge in public sector reform initiatives.

The government advisory services market size is expected to see strong growth in the next few years. It will grow to $69.11 billion in 2029 at a compound annual growth rate (CAGR) of 9.6%. In the forecast period, growth is expected to be driven by greater adoption of digital government platforms, increasing pressure to meet climate and sustainability objectives, enhanced data-driven decision-making, a stronger focus on citizen engagement and co-creation, and the expansion of public-private partnerships (PPPs). Key trends anticipated include the adoption of digital governance solutions, integration of AI and data analytics in policy planning, heightened emphasis on cyber resilience and digital infrastructure, advancements in crisis and resilience management, and a shift toward hybrid and outcome-based consulting models.

The increasing need for financial expertise is expected to drive growth in the government advisory services market going forward. Financial advisory services involve professional guidance provided to individuals or businesses to help manage finances, investments, and financial planning effectively. The demand for these services is rising due to the growing complexity of personal and business financial management. Government advisory services utilize financial advisory to plan budgets, optimize public spending, and manage funding for development projects efficiently. For example, in 2024, the Investment Adviser Association, a US-based nonprofit, reported that the number of advisers reached 15,870, with the clients served increasing by 6.8% to 68.4 million. Thus, the rising need for financial advisory services is propelling the government advisory services market.

Key companies in the government advisory services market are focusing on developing advanced solutions such as outsourced accounting services to tackle talent shortages in public finance departments, boost operational efficiency, and assist state and local governments in maintaining financial stability and compliance amid workforce challenges. Outsourced accounting services involve delegating financial tasks to external experts, enabling organizations to conserve resources, improve accuracy, and focus on core activities. For instance, in August 2024, Forvis Mazars LLP, a US-based accounting and consulting firm, launched Government Outsourced Accounting Services (GOAS) to address the growing shortage of finance professionals in state and local governments. This initiative offers specialized support by combining auditing and finance leadership expertise. Amid widespread staff shortages, burnout, and impending retirements in government finance roles, it aims to help public agencies strengthen their financial operations with scalable, expert-backed accounting solutions.

In October 2022, Guidehouse Inc., a US-based consulting firm, acquired the public sector advisory practice of Grant Thornton LLP for an undisclosed sum. This acquisition expands Guidehouse’s consulting capabilities, deepens its sector expertise, and strengthens its position as a fast-growing leader in public sector advisory services. Grant Thornton LLP is a US-based consulting company specializing in advisory services for the public sector.

Major players in the government advisory services market are Deloitte Consulting LLP, Accenture plc, PricewaterhouseCoopers LLP (PwC), Ernst & Young LLP, KPMG LLP, Capgemini SE, McKinsey & Company Inc., Boston Consulting Group Inc., Booz Allen Hamilton Holding Corporation, Bain & Company Inc., Guidehouse Inc., Roland Berger Holding GmbH, Oliver Wyman Inc., Forvis Mazars LLP, Protiviti Inc., Alvarez & Marsal Holdings LLC, PA Consulting Group Limited, AlixPartners LLP, L.E.K. Consulting LLC, and Cordence Worldwide LLC.

North America was the largest region in the government advisory services market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in government advisory services report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the government advisory services market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s recommendations and conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the professional services sector, particularly in legal, consulting, architectural, and engineering domains. Higher costs for imported technology, software licenses, office equipment, and digital infrastructure have raised operational expenses for firms reliant on global tools and platforms. International consulting projects are facing delays or cost overruns due to increased travel expenses and restricted access to foreign-sourced data and tools. Additionally, clients in manufacturing, construction, and logistics, heavily affected by tariffs are cutting back on outsourced services, squeezing demand for professional expertise. As a result, service providers are reevaluating pricing structures, expanding domestic supplier relationships, and investing in AI-driven solutions to sustain profitability and client engagement amid economic uncertainty.

Government advisory services are professional consulting offerings provided to government agencies and public sector organizations. These services assist in policy formulation, governance improvement, efficiency enhancement, and reform implementation. Advisors bring expertise in fields such as finance, digital transformation, infrastructure, public health, and regulatory compliance. The primary aim is to facilitate better decision-making and effective public service delivery. Such services are delivered by consulting firms, think tanks, or subject matter experts with experience in public administration.

The key service types within government advisory services include strategic planning, policy and regulation, financial advisory, risk management, and others. Strategic planning helps government bodies set long-term goals by analyzing socio-economic factors and optimizing resource use. These services also support technology and digital transformation initiatives, including ICT strategy development, cybersecurity framework implementation, e-governance solutions, and advisory on data analytics and cloud services. The end users of these services include federal, state, and local government entities.

The government advisory services market research report is one of a series of new reports that provides government advisory services market statistics, including the government advisory services industry global market size, regional shares, competitors with the government advisory services market share, detailed government advisory services market segments, market trends, and opportunities, and any further data you may need to thrive in the government advisory services industry. This government advisory services market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The government advisory services market includes revenues earned by entities by providing services such as policy development, regulatory compliance, public sector strategy, economic planning, and infrastructure consulting. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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