Find out how we maintain a strong balance sheet and an investment-grade credit rating.
We have a clear and effective funding strategy to fund the group through a mix of debt and equity, while maintaining a solid investment grade rating. We look to ensure that we have adequate liquidity to meet our medium term needs through cash, bank facilities and cashflow, so that in the event of difficult market conditions or times of change, we have the liquid resources we need.
When it comes to long-term debt, we’re funded via GBP denominated corporate bonds. At 31 December 2025, the Group had available liquidity of c£1.3bn, comprising central cash balances and the undrawn element of its $1.8bn Revolving Credit Facilities maturing June 2028 and February 2029, but which have options to extend the maturities until 2030.
Pearson EMTN Programme – Apr-26
Pearson offering Circular – Sep-24 (Not part of EMTN Programme)
Pearson offering Circular – Jun-20 (Not part of EMTN Programme)
Net debt (as of 31 December 2025)
| All figures in £ millions | 2025 |
|---|---|
| Cash and cash equivalents | 333 |
| Bank loans and overdrafts | |
| Derivative financial instruments | 13 |
| Bonds | (706) |
| Revolving credit facility | (297) |
| Investment in finance lease receivable | 66 |
| Lease liabilities | (478) |
| Net debt | (1,069) |
Bond maturities
Credit ratings:
| Moody’s: Baa2 (stable outlook) |
| Fitch: BBB (stable outlook) |
