Recovering IT budgets powering recruitment growth
Following a dip in the market during 2008 and 2009, the UK IT recruitment sector has exhibited a rapid recovery, with sustained economic recovery, in recent years, driving corporate investment in IT products and services, as numerous companies across the economy look to move forward with IT project development and implementation plans that had previously been deferred as a result of the difficult economic conditions.
While growth has been strong in the post-recession years, there remains concern across the UK economy regarding an IT skills shortage. With numerous companies highlighting difficulties in sourcing candidates with appropriate skills in recent years, this issue could represent a significant future barrier to growth among suppliers of IT recruitment services. In recognition of these concerns, the UK Government has moved to address fears of a skills shortage, introducing numerous initiatives and investment programmes aimed at increasing participation — and existing skills — in science, technology, engineering and mathematics (STEM) industries.
Despite these concerns, it is unlikely that the rapid growth of recent years will end in the foreseeable future, with strong growth forecast over the next 5 years. With corporate IT budgets on the rise after the constrained spending of the recessionary period, combined massive demand for skills in high-growth IT sectors — such as big data, security and enterprise software — the market is projected to exhibit significant annual growth until at least 2017.