UK leads outsourcing boost

A major rise in outsourcing contracts in the early months of 2014 was focused strongly on Britain, a new survey has found.

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Category IT Outsourcing
Article date 16 April 2014
UK leads outsourcing boost
The UK was the most prominent country for outsourcing contracts in the Europe, Middle East and North Africa region in the first quarter of 2014, a new survey has shown.

According to the ISG Outsourcing Index, the region saw 165 outsourced IT contracts being signed in the quarter, up 21 per cent year-on-year.

The value of these totalled €2.4 billion (£2 billion), up 29 per cent on the same period in 2013 and ten per cent up on the previous quarter.

In the UK, 59 contracts were signed, with a 33 per cent rise in value from the previous quarter, while the annual increase was 66 per cent.

Partner and president at ISG North Europe John Keppel said large contracts had been a key feature of the increase, but small ones are also an important part of the picture.

He added: "Multi-sourcing, increasing competition among providers and lower technology costs will continue to be the factors that drive the market for the foreseeable future."  

Last month, Outsource Magazine predicted 2014 will see the highest number of outsourcing contracts agreed ever, due to the high number of existing deals set to expire this year.

Posted by Steven Gaskill

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