Datamonitor's Global Sourcing in European and North American Financial Services report said North America and the UK "remain significantly more advanced than continental Europe" when it comes to outsourcing core business services.
The report added that, to be successful in their offshore expansion programmes, firms need to develop global sourcing strategies that enable them to choose locations and sourcing set-ups in line with strategic objectives.
Anders Maehre, financial services analyst at Datamonitor, said, "Offshore outsourcing has gathered tremendous pace. Political pressure and controversy has done little to deter growth.
"The improving credibility of many offshore providers and increasingly global delivery capability of leading outsourcing service providers will push financial services companies in North America and Europe towards intelligent use of global resources."