A monometallic Ni and a bimetallic Ni-Fe catalyst were used in the aqueous phase hydrogenation of xylose in batch conditions (T = 50–150 °C, PH2 = 10–30 bar, xylose mass fraction in water = 3.7–11.0 wt.%) to evidence the benefits of promoting Ni by Fe. The activity of the catalysts increased with temperature, but a temperature of 80 °C allowed minimizing nickel leaching at full conversion. The presence of reduced Fe at the surface of the bimetallic nanoparticles increased both the first-order apparent rate constant and the adsorption constant of xylose. The catalytic activity of Ni/SiO2 strongly declined and no deactivation was found for the Ni-Fe catalyst. A restructuring of the bimetallic nanoparticles took place, as the size of the metal particles and the Fe proportion in the surface layers increased, suggesting a flattening and coalescing of the particles over the silica surface.