Employment - Key IT Spend Driver

UK IT expenditure is very strongly driven by the number of people employed in the whole economy.  This has been the case since at least 1996 when KEW Associates first started tracking quarterly IT spend growths.  Since that time there has been a phenomenal and highly consistent alignment between quarterly growths in IT expenditure and the number of people in jobs.  This has continued even during the one recession in the intervening period which centred on 2009.  The relationship demonstrates that one of the key factors determining the size of IT budgets is head count.

74 - IT Expenditure & Employment - Quarterly Growths.gifSource: www.kewassociates.co.uk

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