Market Research Finds UK Businesses Keen on IT Outsourcing

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18th September 2012 15:59 - Information Technology

KPMG’s annual IT Service Provider Performance Study has revealed that the UK continues to value outsourcing, while developing new reasons for doing so and different ways of going about it.

The survey analysed 630 IT outsourcing contracts worth £14bn. A total of 230 businesses in the UK, covering an IT budget of £30bn, were interviewed.

It discovered that 76% of organisations will continue to outsource IT at the same level or at a slightly increased capacity moving forwards, however only 19% said they will outsource a great deal more compared with 25% last year.

Financial services companies dominated the survey as they accounted for 30% of the companies interviewed. These organisations are the most likely to outsource their IT requirements, with 58% likely to outsource more over the next year, compared with 44% of all companies surveyed.

The main reason for outsourcing amongst 76% of respondents was the savings factor, while access to skills and financial flexibility were also cited as major benefits to opting for this IT solution.

Furthermore, the study demonstrated the current most popular trends in technology outsourcing – these included application development and management, infrastructure management and network services.

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