Saga plc

Annual Report and

Accounts 2026

IN THIS REPORT

STRATEGIC REPORT

4

Saga at a glance

6

75 years of Saga

8

The year in review

10

Chairman’s Statement

12

Group Chief Executive Officer’s

Strategic Review

18

Key performance indicators

20

Market review

22

Purpose and business model

24

Engaging with stakeholders

26

Group Chief Financial Officer’s Review

41

Environmental, Social and Governance

49

Risk management

51

Principal risks and uncertainties

55

Viability Statement

56

Key disclosure statements

GOVERNANCE

Corporate Governance Statement

58

Governance at a glance

59

Key statements and application of the

UK Corporate Governance Code

60

Chairman’s introduction to governance

62

Board of Directors

64

Board activities

69

Board leadership and Company purpose

70

Division of responsibilities

71

Composition, succession and evaluation

72

Nomination Committee Report

75

Audit and Risk Committee Report

Directors’ Remuneration Report

80

Annual Statement

83

Remuneration at a glance

85

Annual Report on Remuneration

97

Directors’ Remuneration Policy

108 Directors’ Report

111

Statements of responsibilities

112

Independent Auditor’s Report

to the Members of Saga plc

FINANCIAL STATEMENTS

Consolidated financial statements

118

Consolidated income statement

119

Consolidated statement of

comprehensive income

120

Consolidated statement of

financial position

121

Consolidated statement of changes

in equity

122

Consolidated statement of cash flows

123

Notes to the consolidated

financial statements

Company financial statements of Saga plc

188

Balance sheet

189

Statement of changes in equity

190

Notes to the Company financial

statements

ADDITIONAL INFORMATION

194

Alternative Performance Measures

Glossary

197

Glossary

200

Shareholder information

Our 2026 reporting suite

This report, alongside our 2026 Environmental, Social

and Governance (

ESG

) Report, can be accessed digitally

by scanning the QR code or visiting our website

www.corporate.saga.co.uk/investors/

results-reports-presentations

Saga plc

Environmental, Social and Governance Report 2026

Saga plc

Annual Report and

Accounts 2026

BUILDING THE

MOST-TRUSTED

BRAND FOR

PEOPLE OVER 50

Our purpose is to provide exceptional products

and services to meet the needs of people over 50.

We are committed to continually enhancing

our understanding of customers, allowing us

to deliver experiences they deserve and trust.

from Pat

I’d recommend Saga to anyone over 50 because it’s so

important that there is an organisation who genuinely

cares, genuinely supports us. Saga is embracing all of us,

and it’s constantly developing in order to make things even

better for us.”

Financial highlights

£654.6m

Underlying Revenue

1

from continuing operations

2024/25 – £588.6m

£660.0m

Revenue

2024/25 – £588.3m

£44.2m

Underlying Profit Before Tax

1

from continuing operations

2024/25 – £37.2m

£2.1m

Profit/(loss) before tax

from continuing operations

2024/25 – (£160.2m)

£134.9m

Trading EBITDA

1

from continuing operations

2024/25 – £116.0m

£205.9m

Available Operating Cash Flow

1

2024/25 – £109.6m

£499.5m

Net Debt

1

31 January 2025 – £592.8m

2

3.7x

Leverage Ratio

1

31 January 2025 – 4.4x

2

Saga at a glance

LEVERAGING

OUR CORE

STRENGTHS

We are building the most-trusted

brand for people over 50 and our

business is built on that trust.

Contribution to Group Underlying Revenue

1

1

Refer to the Alternative Performance Measures Glossary on pages 194-196 for definition and explanation

2

These are our businesses which are focussed on the specific needs and wishes of our unique customer group

3

Excludes discontinued operations

4

Other Businesses includes Money, Publishing and CustomerKNECT, in addition to our Central Cost base

Underlying Revenue

1

by business unit

2

Contribution

by business unit

2

Cruise

£319.0m

Holidays

£185.1m

Insurance

£131.6m

Other

Businesses

£18.9m

5

Refer to the Alternative Performance Measures Glossary on pages 194-196 for definition and explanation

6

Wholly owned UK subsidiaries of Ageas SA/NV

Travel

Our Insurance Broking business provides tailored

insurance products and services, utilising partnership

models in:

•

motor and home, through our 20-year Affinity

Partnership with Ageas

6

; and

•

travel and private medical insurance, with Collinson and

Bupa respectively.

The Group’s Other Businesses comprise:

•

Money, offering savings products, equity release, legal

services, mortgages and investment solutions;

•

Publishing, delivering insightful and engaging content to

our unique audience through our award-winning Saga

Magazine, digital newsletters and our newly launched

podcast, ‘Experience is Everything’; and

•

CustomerKNECT, our in-house mailing and printing

business.

£16.9m

Insurance Broking Underlying Profit Before Tax

5

from continuing operations

2024/25 – £14.5m

14.7m

Saga Magazine website visits

2024/25 – 7.4m

£67.3m

Ocean Cruise Underlying

Profit Before Tax

5

2024/25 – £48.9m

£5.9m

River Cruise Underlying

Profit Before Tax

5

2024/25 – £4.0m

Our award-winning Cruise business offers a wide range

of luxury experiences on board:

•

our two boutique Ocean Cruise ships, Spirit of Discovery

and Spirit of Adventure, exploring a host of destinations

further afield; and

•

our fleet of smaller River Cruise ships, exploring Europe’s

beautiful waterways, including our brand-new boutique

ship, Spirit of the Moselle.

£14.0m

Underlying Profit Before Tax

5

2024/25 – £10.7m

Our award-winning Holidays business takes customers

all over the world, offering:

•

hosted holidays to an ever-growing range of specially

selected European hotels, delivering not only the highest

standards but also including our new nationwide shared

chauffeur service;

•

escorted tours, showcasing each destination’s history,

culture and character, with excursions tailored to our

customer base; and

•

special interest holidays designed to pique the appetite

of each and every customer.

Cruise

Holidays

Insurance

Other Businesses

Find out more in our Group Chief Executive Officer’s

Review on page 14

Find out more in our Group Chief Executive Officer’s

Review on page 16

Find out more in our Group Chief Executive Officer’s

Review on page 17

Find out more in our Group Chief Executive Officer’s

Review on page 15

Saga plc

Sidney and Margery De Haan launched a travel

company offering affordable off-peak holidays

exclusively to retired people

75 years of Saga

A REMARKABLE

JOURNEY

1965

We offered our first overseas

holiday – the destination was

Ostend, Belgium

1975

Through offering holidays in partnership

with British Rail, we became their largest

customer by the 1970s

1973

We sold our first chartered cruise,

marking the beginning of Saga’s journey

into the cruise market

1999

Our headquarters in Folkestone,

Enbrook Park, was built

1960s

1970s

#1

1980s

1951

1996

We purchased our first

Ocean Cruise ship, Saga Rose

1990s

In 2026, we are proudly celebrating 75 years of Saga – a remarkable journey built

on trust, innovation and dedication to enriching the lives of people over 50.

Saga plc

1985

The Saga Magazine launched,

with Prince Charles and

Princess Diana appearing

on the cover

1987

We began selling Money and

Insurance products

2021

Our first purpose-built

River Cruise ship,

Spirit of the Rhine,

was delivered

2025

We launched our new

podcast, ‘Experience

is Everything’

2001

The first Saga radio station was

launched in the West Midlands

2000s

2020s

2010s

2019

Our very first purpose-

built Ocean Cruise ship,

Spirit of Discovery was

delivered

2012

Saga Pearl II and Saga Sapphire replaced

our first Ocean Cruise ship, Saga Rose

Saga plc

Annual Report and Accounts 2026

7

The year in review

Sale of Insurance Underwriting

We successfully completed the sale of our Insurance

Underwriting business, Acromas Insurance Company

Limited, to Ageas

1

for £67.5m. The net proceeds

generated £56.9m, £11.4m above our initial guidance,

in addition to the receipt of £10.0m of pre-completion

dividends. This transaction simplified our operations,

removed underwriting risk and supported our strategic

Affinity Partnership with Ageas

1

.

Ageas

1

Affinity Partnership

We launched our 20-year Affinity Partnership with Ageas

1

,

representing another major milestone in the simplification

of our business. Following motor new business going live,

we received £60.0m of the total upfront £80.0m cash

consideration, with the remainder to be settled in

2026/27. The partnership combines our brand and

customer base with Ageas’s

1

insurance expertise to

deliver best-in-class motor and home insurance.

Spirit of the Moselle

In July 2025, we welcomed Spirit of the Moselle

to our River Cruise fleet, further enhancing our

premium travel offering. Its addition strengthens

our position in river cruising, delivering

unforgettable, high-quality experiences.

SIGNIFICANT

STRATEGIC PROGRESS

The last year has been momentous for Saga, marked by significant

strategic progress and transformation across the Group.

Consolidation of Travel leadership

We consolidated our previously separate Cruise

and Holidays leadership teams into a single,

customer-centric operation, that more efficiently

delivers a consistent customer experience across

all our Travel products.

1

Wholly owned UK subsidiaries of Ageas SA/NV

Saga plc

Annual Report and Accounts 2026

Corporate debt refinancing

We successfully completed our corporate debt refinancing

to strengthen our financial position and support future

growth. The new credit facilities include a £335.0m term

loan and a £116.6m delayed-draw term loan with HPS Funds

2

,

alongside a £33.4m Revolving Credit Facility (

RCF

)

syndicated between Barclays and NatWest. The interest

rate exposure is fully hedged, providing stability as we

execute our strategic plans. These facilities materially

enhanced liquidity, increased covenant headroom

and provided funding certainty, while offering improved

flexibility. The funds drawn in February 2025 enabled the

full repayment and cancellation of the £250.0m bond.

The £75.0m drawings under the £85.0m loan facility

provided by Roger De Haan were repaid and this facility,

and the existing RCF, were also cancelled.

Transformation of the year

Awarded ‘Transformation of the Year’ at the plc

awards, reflecting the significant progress made

in reshaping the business.

2

Certain funds, entities (or affiliates or subsidiaries of such funds or entities) and/or accounts managed, advised or controlled by HPS Investment Partners, LLC or its subsidiaries

NatWest Boxed partnership

In December 2025, Money launched a seven-year

partnership with NatWest Boxed, NatWest Group’s

banking-as-a-service business, to deliver innovative

savings products tailored for people over 50. This

collaboration combines our deep customer insight with

NatWest’s scale and NatWest Boxed technology, opening

up new savings options for our customers and building on

our existing portfolio of differentiated personal finance

solutions for people over 50.

Launch of new podcast

We recently expanded our media reach with the

successful launch of our new podcast, ‘Experience

is Everything’. Designed to deepen engagement with

our audience, the podcast brings fresh perspectives,

real stories and expert insights, strengthening our

position as a trusted voice for our listeners.

Saga plc

Annual Report and Accounts 2026

9

My parents started operating holidays

for older people in the early 1950s when

they wanted to try and fill their seaside

hotel in Folkestone in the off-peak season.

The holidays were an immediate success,

and the idea of Saga was born.

I became Saga’s 11

th

employee in 1965,

its Managing Director in 1978 and Chief

Executive Officer (

CEO

) and Chairman

six years later. So, I know Saga well.

This year is our 75

th

birthday and it is

particularly fitting that this is also the year

in which we returned to the FTSE 250. Saga

is a business with a great heritage and the

progress we have made this year has been

built on the enduring principles that have long

defined us. We have always worked hard to

understand older people better than anyone

else and, over the years, that understanding

has allowed us to design products and

services successfully to meet the needs of

our customers.

We have delivered an excellent set of financial

results this year, reflecting significant

progress in embedding our new strategic

plan. Underlying Profit Before Tax

1

grew

by 19% when compared with last year,

revenues were up 12% and the Leverage

Ratio

1

fell to 3.7x.

1

Refer to the Alternative Performance Measures Glossary on pages 194-196 for definition and explanation

2

Wholly owned UK subsidiaries of Ageas SA/NV

In summary

• Travel growth continues, driving

increases in Underlying Revenue

1

and

Underlying Profit Before Tax

1

.

• We completed the sale of our Insurance

Underwriting business to Ageas

2

.

• We also launched our insurance

partnership with Ageas

2

, a major step

in simplifying our operations and

reducing complexity.

• Net Debt

1

significantly reduced, when

compared with the prior year, and

continues to be a key strategic priority.

Implementation of the plan was carried out

at pace and resulted in a year of significant

transformation for Saga. The ability to change

has always been central to Saga’s long-term

success. Regularly reinventing ourselves,

in order to compete effectively and to stay

relevant to each new generation of older

people entering our market, has always

been essential.

Mike Hazell, our Group CEO, together with

Mark Watkins, our Group Chief Financial

Officer, and the senior management team

have been superb in refining and

implementing our business model in a way

that allows us to meet our customers’ needs

simply and effectively. Our partnership

strategy is a fundamental part of that

simplification. By accessing the skills and

infrastructure of high-quality business

partners to complement the core skills we

have in designing and marketing products

for older people, we are unlocking uniquely

compelling customer propositions that

neither partner could deliver alone.

As a result of the teams’ disciplined execution

of our plan in 2025/26, I am confident in our

future. All our businesses are performing well

and we have secured our long-term funding.

Our lower-risk, more simplified business

model sets us up well to deliver our growth

plan and significantly reduce our debt.

EXECUTING OUR

STRATEGIC PLAN

Chairman’s Statement

“We have delivered an excellent

set of financial results this year,

alongside significant progress in

embedding our new strategic plan.”

Sir Roger De Haan

Reasons to invest in Saga

Our investment case is designed to create value for shareholders

through the delivery of sustainable long-term, capital-light growth,

alongside continued debt reduction.

Our Insurance business has had a very

successful year. The sale of our Insurance

Underwriting business in July 2025, together

with the launch of our Ageas

3

motor and

home Affinity Partnership in December

2025, meant that we ended the year taking

no underwriting risk and with our Insurance

operations significantly simplified. This new

commission-based business model means

that we now have greater certainty of

earnings, lower volatility and a less

capital-intensive path to growth, supported

by one of the largest insurers in Europe.

Our stronger balance sheet, together with

the new partnership, gave us the confidence

to invest in pricing and marketing. As a result,

both revenue and Underlying Profit Before

Tax

4

returned to growth after a number of

challenging years.

Travel is now the largest generator of profits

in the Group. Implementing a series of

operational improvements and changes to

our management structure led to increased

customer numbers and improved customer

satisfaction. As we head towards our 30

th

year of cruising, our Ocean and River Cruise

businesses continue to grow. Holidays are

also continuing to grow. It is excellent that,

after a number of years, we have started

offering holidays in the UK again, the place

our journey began 75 years ago.

2025/26 was a year in which we set out

to grow our profits, reduce our debt and

re-engineer our business, to focus on a more

simple, low risk, less capital-intensive way of

doing business. We have succeeded in

achieving these objectives and have gone into

the new year confident in the delivery of our

medium-term targets. None of this would

have been possible without the exceptional

commitment, expertise and sustained effort

from all of Saga’s colleagues.

Sir Roger De Haan

Non-Executive Chairman

20 April 2026

P.S. I am delighted that, during the last year,

Saga won many awards. Among them:

Best British Insurance Company, Best

Customer Centric Culture, Editor of the Year,

Newsletter of the Year, Best Cruise Line for

Luxury Holidays, Best Travel Company for

Luxury Holidays, Which? Recommended

Provider for Ocean Cruises and

Transformation of the Year, plc awards.

This, again, is testament to the great team

we have at Saga.

3

Wholly owned UK subsidiaries of Ageas SA/NV

4

Refer to the Alternative Performance Measures Glossary on pages 194-196 for definition and explanation

5

Office for National Statistics – 2022-based national population projections for 2025

£205.9m

Available Operating Cash Flow

4

How we are different

Saga stands apart through the strength

of its brand and its long-standing

relationship with people over 50. Our

deep knowledge of this community allows

us to tailor products and services that

meet their needs, supported by

high-quality service that reinforces trust

at every interaction. As we simplify and

strengthen our operating model, these

advantages uniquely position Saga to

deliver sustainable, capital-light growth

and long-term value for shareholders.

The model works

Our model brings together a trusted brand,

deep customer insight and disciplined

financial management. Its cash-generative

nature allows us to balance investment in

growth with continued debt reduction,

giving us the resilience to navigate

market conditions and deliver strong,

long-term returns.

Confidence in future delivery

We have a clear and compelling strategy

centred on maximising the growth of our

existing businesses, driving incremental

growth through new business lines and

products, and growing our customer

base and deepening those relationships.

Alongside this, we remain focussed on

reducing debt and simplifying our

operations. Together, these priorities

give us confidence in our ability to deliver

our future plans and support our

ambition to build the most-trusted brand

for older people.

1

Refer to the Alternative Performance Measures Glossary on pages 194-196 for definition and explanation

2

From continuing operations

3

Following the Group’s corporate refinancing and subsequent revised covenant definition, the Net Debt and Leverage Ratio have been re-presented at 31 January 2025

4

Wholly owned UK subsidiaries of Ageas SA/NV

TRANSFORMING OUR

BUSINESS FOR GROWTH

Group Chief Executive Officer’s Strategic Review

“As we head into our new year, we are in

a good position. Our businesses are all

performing well and we continue the

delivery of our plans that are transforming

the outlook for the Group.”

Mike Hazell

Group Chief Executive Officer

75 years of doing things differently

I am delighted to update you on our strong

performance in the 2025/26 financial year

and the excellent progress we made in

delivering our strategic plan. The turnaround

we started two years ago is now well

advanced and the early results of the action

we have taken can be seen in our performance.

We have a long-term strategy, which is built

on our deep understanding of our customers,

and the brand principles that have, for over

three quarters of a century, made Saga the

UK’s leading business for people over 50.

Our disciplined execution of this strategy,

combined with a short-term focus on

trading performance, has meant that we

have fundamentally changed the outlook

for the Group, addressing key structural

challenges that were previously holding the

business back.

Nobody understands older people better

than Saga, and we use our 75 years of

experience to differentiate our products and

services from other businesses in ways that

matter to our customers. We work hard to do

things differently for customers whose needs

and expectations we understand.

In summary

• As a result of the strategic progress

made, we have transitioned to a

significantly lower risk, simpler and

less volatile business model.

• Alongside this, we delivered strong

trading performance across both

Travel and Insurance, with both

exceeding our initial expectations.

• We are tracking ahead of our planned

trajectory to achieve at least £100.0m

of Underlying Profit Before Tax

1

and

reduce the Leverage Ratio

1

to below

2.0x, by January 2030.

Strong financial performance

exceeding expectations

In a transitional year for Saga, I am very

pleased to be able to report a strong set

of financial results as we continued to

successfully implement our long-term

strategic plan. An outstanding performance

across our Travel business, and a return to

growth in our Insurance business translated

into an Underlying Profit Before Tax

1,2

of

£44.2m, a 19% increase on the prior year.

The Group reported an 11% growth in

Underlying Revenue

1,2

of £654.6m, with

growth across both Travel (11%) and

Insurance Broking (13%). The profit before

tax from continuing operations of £2.1m

(2025: loss of £160.2m) was impacted by the

exceptional restructuring costs we incurred

this year and brings to an end the series of

statutory losses the Group has reported

over the past seven years.

Cash flow generation is a key measure for any

business and the continued reduction in our

Net Debt

1

remained a key priority for the

Group. Our strong trading performance and

profit translated into significant cash flow

generation and a substantial reduction in

Net Debt

1

, which fell to £499.5m compared

with £592.8m

3

in the prior year, with a

Leverage Ratio

1

of 3.7x, compared with

4.4x

3

 last year.

Our performance during the year places us

well on the path towards our medium-term

targets of at least £100.0m Underlying Profit

Before Tax

1

by January 2030 and a resulting

Leverage Ratio

1

of less than 2.0x. Indeed, we

are already ahead of the planned trajectory

we set out last year.

Significant strategic

transformation

Our strategic transformation is now well

underway. Since setting out our plan at the

start of the 2025/26 financial year, our key

focus has been on its delivery, which we have

been executing at pace. Our plan is on track

and we finished the year with a simplified,

more focussed, capital-light business that

is well placed to continue growing both

customer numbers and profitability.

We have now restructured our Insurance

business model and, in doing so, have

significantly reduced the risk and complexity

that previously impacted our performance.

The sale of our Insurance Underwriting

business in July 2025 meant that we no

longer take any underwriting risk. This,

combined with the launch of our 20-year

motor and home insurance Affinity

Partnership with Ageas

4

in December 2025,

allows us to reduce the level of technical,

operational and regulatory activity that

we undertake directly, and leverages the

capabilities and infrastructure that our

new insurance partner, Ageas

4

, provides.

With this more robust model in place,

we are now in a good position to grow.

Travel is now the largest driver of profits in

the Group and is central to our growth plans.

In March 2025, we combined our Cruise and

Holidays management teams, creating a

single, more effective and customer-centric

operation. The full benefits of this change will

take time to mature but we have already seen

a significant improvement in performance

and customer satisfaction, demonstrated

through the 11% year-on-year increase in

Underlying Revenue

1

from £453.9m to

£504.1m and a corresponding 37% increase

in Underlying Profit Before Tax

1

from £63.6m

to £87.2m.

Our long-term

strategic principles

Saga has been designing products and

services for older people throughout the

last 75 years. The deep understanding

of our customer group, together with

the experience we have in meeting their

distinct needs, is at the heart of our strategy.

Our businesses are supported by our

award-winning multi-platform Publishing

arm, and these combine to create a

sophisticated marketing operation built

on data that is unique to Saga and a critical

driver of our business decisions.

By maintaining these key principles, and by

embedding a culture and discipline across

the business that put our customers at the

forefront of decision making, we deliver

products and services in a way that is

different to other businesses.

Shorter-term strategic priorities

These enduring principles guide our decision

making, providing longer-term direction

alongside shorter-term priorities from which

we build our plans. Our current strategic

priorities comprise four key pillars.

As we deliver our transformation and create solid foundations for

long-term growth, we are driving the performance of our core

businesses, all of which are now growing. The decisions taken in each

of our businesses are now made with long-term sustainable growth

in mind and are consistent with our clear brand principles.

We believe that Saga will, in the future, offer a broader range of

products and services than it offers today, meeting the needs of older

people in ways that mass market operators do not. Our priority is to

complete the delivery of our turnaround plan, which will create the

solid financial platform for achieving our medium-term targets.

Alongside this, we will continue to lay the groundwork for new

products and services.

Our new simplified business model creates more predictable

revenues and cash flow generation and builds on our core strengths.

Our growth plan leverages our skills and our existing asset base to

deliver capital-light profit growth that, in turn, accelerates debt

reduction and deleveraging.

Central to our success is the understanding we have of our customers.

This understanding influences every aspect of our decision making.

Our customer database is at the heart of our operation, providing us

unrivalled reach. By growing the number of customers we have and

the audience we engage with, we also increase our potential and

improve our understanding of the people we serve.

1

MAXIMISING THE GROWTH OF

OUR EXISTING BUSINESSES

2

DRIVING INCREMENTAL GROWTH THROUGH

NEW BUSINESS LINES AND PRODUCTS

4

REDUCING DEBT, WHILE SIMPLIFYING

OUR OPERATIONS

3

GROWING OUR CUSTOMER BASE AND

DEEPENING THOSE RELATIONSHIPS

An update on our progress during the year across

each of our businesses is set out overleaf

Saga plc

Annual Report and Accounts 2026

13

£67.3m

Ocean Cruise Underlying

Profit Before Tax

5

2024/25 – £48.9m

£5.9m

River Cruise Underlying

Profit Before Tax

5

2024/25 – £4.0m

Our Ocean Cruise holidays have continued

to be extremely popular. Our smaller,

purpose-built Ocean Cruise ships offer an

experience uniquely tailored to our guests’

needs. We only depart from UK ports, and

with every passenger being provided a

chauffeur service to and from their home,

we remove the stress of flying, providing a

seamless door to deck service. Onboard, our

truly all-inclusive experience means that we

give guests the peace of mind to enjoy their

holiday without the fear of additional charges.

The results show strong repeat rates, with

64% of our guests booking a further cruise

with us. Our guests return because of the

quality of their holidays with us and we see

consistently high levels of customer

satisfaction. Our transactional net promoter

score (

tNPS

) reached an all-time end-of-year

high of 83, compared with 82 last year.

This customer focussed approach

translated into another outstanding financial

performance. Underlying Revenue

5

grew

by 12%, to £265.6m and Underlying Profit

Before Tax

5

increased 38%, to £67.3m.

We are also driving strong forward bookings

for the year ahead. At 12 April 2026, the load

factor for 2026/27 departures was 79%,

in line with the same point in the prior year,

and the per diem was £447, 13% ahead.

Our River Cruise business is also

burgeoning. Building on our experience

in Ocean Cruise, we now have four ships

offering boutique river cruises on

European rivers. Led by the same

management team, and with the

attention to detail that our Ocean Cruise

guests have come to expect, we are

generating a strong demand and driving

significantly improved customer

satisfaction. Varying river water levels

in Europe did pose some disruption this

year, however by continuing to enhance

our product and service experience we

still managed to increase our tNPS

from 60 to 69.

In July 2025, we launched the Spirit

of the Moselle. This was part of our

continued rollout of Spirit-class ships

that are purpose-built for our guests,

delivering consistently high quality. Spirit

of the Moselle has already proved very

popular and we will be adding further

Spirit-class vessels to the fleet over the

coming years. Spirit of Lorelei will launch

in 2027.

We see great potential in our River Cruise

business. In 2025/26, revenue from our

Rivers operation grew by 8%, with

Underlying Profit Before Tax

5

rising to

£5.9m, from £4.0m last year. Bookings

for 2026/27, at 12 April 2026, were ahead

of the same point last year, with a load

factor of 73% and a per diem of £372,

5ppts and 3% higher, respectively.

Group Chief Executive Officer’s Strategic Review

continued

from John

£14.0m

Holidays Underlying

Profit Before Tax

6

2024/25 – £10.7m

60.8k

Holidays passengers

2024/25 – 54.8k

Our Holidays business benefited during

the year from the operational changes we

made over the past couple of years, and

the more consistent customer focus the

newly combined Travel management team

have brought.

Our holidays are designed with older

customers in mind. Hotels are carefully

selected, and itineraries built to reflect the

range of pace, comfort and accessibility

that people over 50 prefer.

Product design and innovation are at the

forefront of our plans. Our nationwide

chauffeur service is extremely popular

and is now included with all our holidays

and we continue to expand our range of

special interest holidays. This year, we have

reintroduced a range of UK holidays,

including our unique university and college

stays that provide an alternative to traditional

hotels and an excellent way to explore the UK

in the summer, particularly for solo travellers.

The demand for our holidays has been

strengthening. Passenger numbers

increased in 2025/26 by 11% compared

with the prior year and Underlying Profit

Before Tax

6

increased 31%, from £10.7m

to £14.0m.

We believe that, with our market-leading

brand, compelling holiday ideas and our

customer focussed mindset (that

continues to win us both Travel awards

and customer loyalty), we are well

positioned to continue this growth.

Forward bookings for 2026/27, at

12 April 2026, were ahead of the same

point last year, with 51.6k passengers,

compared with 51.5k, and revenue of

£165.9m, a 4% increase.

from Liane

When you go on any trip with them, you are going

home from home. You’re made to feel as if you’re

a member of the wider Saga family.”

HOLIDAYS

6

Refer to the Alternative Performance Measures Glossary on pages 194-196 for definition and explanation

Group Chief Executive Officer’s Strategic Review

continued

£16.9m

Insurance Broking Underlying

Profit Before Tax

7

from

continuing operations

2024/25 – £14.5m

1.3m

Insurance policies in force

31 January 2025 – 1.3m

Our Insurance business has had a

transformational year, as we simplified the

operations and adopted a lower risk, less

complex business model following the sale

of our Underwriting business and the start

of our 20-year motor and home insurance

partnership with Ageas

8

(the

Affinity

Partnership

). The sale of Acromas Insurance

Company Limited in July 2025 means that

we no longer take any underwriting risk, and

the launch of the Affinity Partnership in

December 2025 removed significant

complexity from our business and teams

us up with one of the most successful

insurance businesses in Europe. This new

commission-based model means that Ageas

8

takes responsibility for the motor and home

insurance operations and the administration

of policies, while Saga focusses on our core

sales and marketing strength, working with

Ageas

8

on product design and the customer

journey. Once we have fully transferred our

motor and home business to Ageas

8

, the

pricing and underwriting risk will sit with

Ageas

8

and Saga will earn a commission-

based income stream. The customer

relationship will remain with Saga.

As we worked towards this transition

during the course of 2025/26, with the

benefit of a stronger balance sheet and a

clear strategy ahead of us, we were able to

invest in growth by improving our pricing

and refocussing our marketing strategy.

For the first time in four years, we were

able to deliver an increase in total policy

sales, with three out of our four insurance

product lines growing. While home

insurance performed ahead of

expectations, the challenging market

conditions and the drop in last year’s

policy sales drove fewer renewal

opportunities and produced a 19% drop

in home policies in force. However,

alongside this, policies in force for motor

insurance grew by 12%, and private

medical insurance sales grew by 7%.

Our refreshed travel insurance product

and the associated marketing campaign

proved hugely successful and supported

a 34% increase in policies in force.

Looking ahead to 2026/27, our priority is

to complete the final phase of the Affinity

Partnership implementation. Home new

business is due to launch by the end of

April 2026 and policy renewals for both

motor and home are due to go live later in

the year.

INSURANCE