The UK and Irish IT services market will see a slow increase in growth this year, according to analysts Ovum. The countries can expect real-term growth of less than two per cent in 2010 and won’t return to pre-recessionary levels until at least 2011.
By the end of the forecast period in 2013 the UK and Irish IT services market is expected to grow to over £32 billion. However, less than a third of this will come from the public sector which is facing big cuts.
However, the IT services market has been through the worst effects of the recession, according to the analysts. But the recovery promises to be a slow ascent rather than a quick bounce-back.
Dr Alexander Simkin, co-author of the forecast, said: “Some IT services vendors are pinning their hopes on a marked uptick in the UK and Ireland in 2010. [But] They need to take a more realistic view: the market will remain challenging for at least 12 months with only modest growth overall during 2010.”