British firms 'moving away from IT contractors'

IT contractors have been warned that more and more companies are switching their attention to recruiting in-house IT staff.
A report published this week by Computer Economics suggested that US firms are outsourcing a large amount of their operations.
But the associate director of Badenoch & Clark David Fleming says that the situation is quite different in the UK.
Mr Fleming says that years ago IT contractors dominated the sector, but now there is recognition among UK firms that they want to have a more stable, permanent workforce dedicated to IT.
"What we'll see is a lot of the contractors moving into permanent work, and as long as that happens then demand and supply should match," he explained.
In the third quarter of 2010, vacancies for permanent ICT vacancies were up by eight per cent, while those for IT contractors rose by 11 per cent compared to the previous quarter, a new report from e-skills UK has shown.
