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UK outsourcing market continues to thrive

by Spencer Dalziel

26 Mar 2010

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60 per cent of UK businesses are outsourcing more than they did two years ago

The IT outsourcing trend towards UK-based suppliers continues to grow, according to a new survey released today.

Online business marketplace PeoplePerHour.com polled more than 50,000 business users, and claimed that 60 per cent of UK businesses are outsourcing more than they did two years ago.

Some 61 per cent of businesses are outsourcing IT requirements locally instead of choosing overseas options, the firm revealed.

These outsourcing trends were a result of the recession as businesses looked to cut costs and reduced staff.

"You might have expected offshoring to grow through the recession as UK businesses looked to cut costs by outsourcing IT requirements to cheaper overseas suppliers," said PeoplePerHour.com founder Xenios Thrasyvoulou.

"However, responses to our survey, and analysis of transactions on the site, points to one conclusion: outsourcing is growing and offshoring is falling."

PeoplePerHour.com believes the fall in offshoring is down to a rise in skilled IT professionals moving to freelance work as in-house roles continue to fall. The firm also claims that UK business is doing well from the trends.

"With more businesses choosing to outsource to UK-based suppliers than ever before, prospects for the UK IT industry are very rosy indeed," said Thrasyvoulou.

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