IT workloads forecast to increase, but budgets remain flat
IT contractors may start to feel the pressure from their clients to do more for less. In a survey of IT directors conducted by business and technology staffing company ReThink Recruitment, 66% expect workloads to increase throughout 2010, but less than a third, 29%, expect budgets to increase. Not surprisingly, 48% of those surveyed have a major concern about delivering IT projects and support within budget. More…
Contractor accountant launches new ‘personal umbrella’ service
Umbrella company contractors incurring few or no business expenses may benefit from a new ‘personal umbrella’ service launched by contractor services provider Danbro. Under the new service, contractors will become directors of their own personal umbrella company. As such, they may benefit by up to an extra £50 per week arising from the financial advantage of the flat rate VAT scheme, says Danbro. More…
Government commits to reducing business regulation
Limited company contractors will benefit directly from a raft of measures announced by Business Secretary Vince Cable. The plans to reduce regulation include an immediate review of all new business regulations that have been inherited from the former Labour government. According to government figures, these regulations are forecast to cost UK businesses up to £20bn per year if implemented. More…
Purchasing Managers Indexes up across the board
The Markit/Chartered Institute of Purchasing and Supply Purchasing Managers Index in Manufacturing, Construction and Services have all shown an increase this month, potentially benefiting contractors working across all disciplines. The manufacturing PMI is at a fifteen-and-a-half year high and construction has expanded at its fastest rate since September 2007. Although the index is up, the services PMI shows a slowdown in new business. More…
Sales and profits fall for services sector firms
The services sector’s woes continue. The latest CBI Services Sector Survey reveals that professional and consumer services firms saw a fall in sales and profits in the last three months, compared to the previous quarter’s results. Contractors working in professional services will be less hard hit than those with clients targeting consumer markets, as CBI Chief Economic Adviser Ian McCafferty explains: “These figures for the UK service sector show there is some way to go before the recovery gets up to speed, and firms selling services to the consumer are finding it tougher than those in business and professional services.” More…
Defence spending increases despite recession
The latest data from the Stockholm International Peace Research Institute (SIPRI) Yearbook 2010 shows that global defence spending in 2009 increased by 5.9% compared to 2008. The UK’s defence sector is a major consumer of engineering and IT contractors, who will have benefited directly from existing and new programmes, such as the Queen Elizabeth II Class aircraft carriers. More…
House prices only 10% short of 2007 peak
Contractors holding onto their property portfolios and fearing possible hikes in capital gains tax will be pleased to hear that house prices have increased by 0.5% from April to May. The results from the Nationwide Building Society also show that UK house prices are only 10% below the peak in 2007. However the report warns that sales volumes are still low compared to the boom years. More…