Outsourcing boosted by the recession

Outsourcing IT functions is expected to become more popular during the recession, according to recent research.

A study by the National Outsourcing Association (NOA) highlighted that activity in the market, which includes managed hosting and disaster recovery, grew by 12 per cent in the final quarter of last year, with many firms planning to embrace outsourcing further in the coming months.

NOA chairman Martyn Hart said: "Outsourcing has traditionally been seen as a cost-saving mechanism for business, so in times of economic turbulence it is not surprising the industry is continuing to grow."

It was also noted that outsourcing vendors are confident in the market, with 40 per cent of those questioned saying they are more optimistic than they were in 2008.

Last month, a study carried out by the IT Job Board found that 64 per cent of businesses have used a form of IT outsourcing.

By Chris Ball