Federal Professional Services Budget Outlook, FY 2026

Uncover where federal dollars are headed in FY 2026 and what it means for professional services contractors. This report delivers expert analysis to help you anticipate shifts, align with agency priorities, and win more business in a competitive, cost-conscious environment.

Where the Money's Going and Why It Matters

Gain a strategic edge with Deltek’s latest analysis of the FY 2026 federal budget request for professional services. This report breaks down where agencies are increasing or cutting spend, and what it means for contractors navigating a shifting landscape. Inside, you’ll uncover:

• Top Agency Movers: See which departments, like DHS, VA, and DOT, are ramping up investments, and where major cuts are expected.
• Defense & Insourcing Trends: Understand how DOD’s 10% reduction and push for IT insourcing could impact your pipeline.
• Consulting Under Scrutiny: Learn how new oversight and classification mandates are reshaping the consulting services market.
• Emerging Opportunities: Discover where demand is growing for HR, DEI, training, and operational support services amid federal workforce changes.
• Actionable Insights: Get expert guidance to help you align with agency priorities, mitigate risk, and position your firm to win.

“Since becoming a GovWin IQ member, we realized very quickly why Deltek's known as the 'gold standard' for research and tracking of the government market.”
Tomette Herring, Sr. Business Development Director, DCS

Key Insights to Shape Your FY 2026 Strategy


Shifting Agency Priorities
Discover which federal departments are increasing spend—like DHS (+79%) and VA (+547%)—and where cuts could impact your pipeline.


Consulting Under the Microscope
Learn how new federal scrutiny is reshaping the consulting landscape, with mandates to review, reduce, or cancel contracts.


Growth in Workforce Services
Explore rising demand for HR, DEI, and training services as agencies adapt to workforce reductions and operational shifts.
 

5.8% Federal contractor-addressable funding for professional services is set to drop by 5.8% in FY 2026, making it more critical than ever to know where to focus.

Stay Ahead in a Shifting Federal Market—Leverage These Insights Before Competitors Do. Download the Report >