diff --git a/pkgs/by-name/pg/pgsql-tools/package.nix b/pkgs/by-name/pg/pgsql-tools/package.nix
new file mode 100644
index 000000000000..ab9d06f47d11
--- /dev/null
+++ b/pkgs/by-name/pg/pgsql-tools/package.nix
@@ -0,0 +1,89 @@
+{
+  stdenv,
+  lib,
+  fetchurl,
+  autoPatchelfHook,
+  libxcrypt-legacy,
+  makeBinaryWrapper,
+  pgsql-tools,
+}:
+
+stdenv.mkDerivation (finalAttrs: {
+  pname = "pgsql-tools";
+  version = "2.1.0";
+
+  src = fetchurl (
+    let
+      sources = {
+        x86_64-linux = {
+          url = "https://github.com/microsoft/pgsql-tools/releases/download/v${finalAttrs.version}/pgsqltoolsservice-linux-x64.tar.gz";
+          hash = "sha256-dN7+LJCUwb39ypuJV4p3jUHNGAPaObN4aZvsOHIpmkQ=";
+        };
+        aarch64-linux = {
+          url = "https://github.com/microsoft/pgsql-tools/releases/download/v${finalAttrs.version}/pgsqltoolsservice-linux-arm64.tar.gz";
+          hash = "sha256-rD8jymGdM1RDGDbrKu6E7xoWtSMRNuc2ngCmR+sHgQI=";
+        };
+        x86_64-darwin = {
+          url = "https://github.com/microsoft/pgsql-tools/releases/download/v${finalAttrs.version}/pgsqltoolsservice-osx-x86.tar.gz";
+          hash = "sha256-KLl7HPChurzB6QYV6AqAP3g1J3VKl61+we3opzJQwG0=";
+        };
+        aarch64-darwin = {
+          url = "https://github.com/microsoft/pgsql-tools/releases/download/v${finalAttrs.version}/pgsqltoolsservice-osx-arm64.tar.gz";
+          hash = "sha256-tpabEKB1kqse7D58FsP/9jywk+vgAAvptL9MadwxWg8=";
+        };
+      };
+    in
+    sources.${stdenv.hostPlatform.system}
+  );
+
+  nativeBuildInputs = [
+    makeBinaryWrapper
+  ]
+  ++ lib.optionals stdenv.isLinux [
+    autoPatchelfHook
+  ];
+
+  buildInputs = lib.optionals stdenv.isLinux [
+    libxcrypt-legacy
+    (lib.getLib stdenv.cc.cc)
+  ];
+
+  dontBuild = true;
+  dontStrip = true;
+
+  installPhase = ''
+    runHook preInstall
+
+    mkdir -p $out/bin $out/lib/pgsql-tools
+    install -Dm755 ossdbtoolsservice_main $out/lib/pgsql-tools/ossdbtoolsservice_main
+    cp -r _internal $out/lib/pgsql-tools/
+
+    makeBinaryWrapper $out/lib/pgsql-tools/ossdbtoolsservice_main $out/bin/ossdbtoolsservice_main \
+      ${lib.optionalString stdenv.isLinux ''--prefix LD_LIBRARY_PATH : "${
+        lib.makeLibraryPath [
+          libxcrypt-legacy
+          (lib.getLib stdenv.cc.cc)
+        ]
+      }"''} \
+      --chdir $out/lib/pgsql-tools
+
+    runHook postInstall
+  '';
+
+  doInstallCheck = true;
+
+  passthru = {
+    updateScript = ./update.sh;
+  };
+
+  meta = {
+    homepage = "https://github.com/microsoft/pgsql-tools";
+    description = "Backend service for PostgreSQL server tools, offering features such as connection management, query execution with result set handling, and language service support via the VS Code protocol";
+    changelog = "https://github.com/microsoft/pgsql-tools/releases/tag/v${finalAttrs.version}";
+    license = lib.licenses.mit;
+    platforms = lib.platforms.linux ++ lib.platforms.darwin;
+    maintainers = with lib.maintainers; [ liberodark ];
+    mainProgram = "ossdbtoolsservice_main";
+    sourceProvenance = with lib.sourceTypes; [ binaryNativeCode ];
+  };
+})
diff --git a/pkgs/by-name/pg/pgsql-tools/update.sh b/pkgs/by-name/pg/pgsql-tools/update.sh
new file mode 100644
index 000000000000..ddd35c318e8a
--- /dev/null
+++ b/pkgs/by-name/pg/pgsql-tools/update.sh
@@ -0,0 +1,33 @@
+#!/usr/bin/env nix-shell
+#!nix-shell -i bash -p bash curl jq nix nix-prefetch common-updater-scripts
+
+set -euo pipefail
+
+latestVersion=$(curl --fail --silent https://api.github.com/repos/microsoft/pgsql-tools/releases/latest | jq --raw-output '.tag_name | ltrimstr("v")')
+currentVersion=$(nix eval --raw -f . pgsql-tools.version 2>/dev/null || echo "unknown")
+
+echo "latest  version: $latestVersion"
+echo "current version: $currentVersion"
+
+if [[ "$latestVersion" == "$currentVersion" ]]; then
+  echo "package is up-to-date"
+  exit 0
+fi
+
+update-source-version pgsql-tools "$latestVersion" --file=pkgs/by-name/pg/pgsql-tools/package.nix
+
+declare -A platforms=(
+  ["x86_64-linux"]="pgsqltoolsservice-linux-x64.tar.gz"
+  ["aarch64-linux"]="pgsqltoolsservice-linux-arm64.tar.gz"
+  ["x86_64-darwin"]="pgsqltoolsservice-osx-x86.tar.gz"
+  ["aarch64-darwin"]="pgsqltoolsservice-osx-arm64.tar.gz"
+)
+
+for system in "${!platforms[@]}"; do
+  filename="${platforms[$system]}"
+  url="https://github.com/microsoft/pgsql-tools/releases/download/v${latestVersion}/${filename}"
+
+  echo "Updating hash for $system..."
+  hash=$(nix --extra-experimental-features nix-command hash convert --to sri --hash-algo sha256 $(nix-prefetch-url "$url"))
+  update-source-version pgsql-tools "$latestVersion" "$hash" --system="$system" --ignore-same-version --ignore-same-hash
+done