Experian reveals major £83m bounce back as Nottingham firm defies 'headwinds'

Experian's Sir John Peace Building at the NG2 Business Park in Experian Way, Nottingham
-Credit: (Image: Joseph Raynor/ Nottingham Post)


Nottingham-based Experian has revealed its successful recovery from a massive tax bill that resulted in it recording a multi-million loss last year. The business services firm has around 2,000 staff stationed at its Sir John Peace building in the city's NG2 Business Park, which is the main base for the multinational company's UK operations.

The company's UK division, which is regularly listed as one of Nottinghamshire's largest employers and most successful businesses, slumped to a £30 million loss last year as it had to pay a £158 million share of its parent company's group settlement with tax authority HMRC. However, Experian's recently filed financial accounts show it has returned to producing large profits, recording an after-tax profit of £53 million for the year ending March 31, 2024.

This is lower than the £63 million profit it had garnered in 2022, but Experian's directors said they were pleased revenue had increased by 3 per cent to £664 million in the most recent financial year, despite what a report called "underlying market softness". While the firm's consumer services brought in the same amount of cash as last year, its business-to-business trade rose to £527 million up from £508m the year before.

The company's accounts labelled this "a great performance in a year as we deepened market penetration despite economic headwinds and volume challenges." The directors' added: "The external commercial environment is expected to remain competitive for the remainder of 2024 and 2025, but the directors remain confident that the company will continue to trade profitably in the future."

The firm said new products were a "key growth contributor" and explained that its use of data had secured business with FinTech companies, government, and traditional customers. It added that its subscription business had "gained momentum" with consumers, giving it a strong end to the financial year.

Experian recently emerged victorious in its long-running battle with the Information Commissioner's Office, the public body tasked with data and privacy protection. The regulator previously accused Experian's Marketing Services arm of processing information unlawfully by creating "intrusive" data profiles for 51 million adults across the UK for marketing purposes.

In early February, the Information Commissioner's Office (ICO) took its case to an Upper Tier Tribunal after an earlier First Tier Tribunal rejected the ICO's view that Experian’s privacy notice was not transparent, that using credit reference data for direct marketing purposes was unfair, and that Experian did not properly assess its lawful basis. An appeal by the ICO's was dismissed by the senior tribunal in April, meaning Experian has been able to continue its existing business practices.