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| CURRENT SECTION :: News | UK's most visited IT Contractor Site - 250k unique visitors March 2008 |
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All government eyes, from ministers, to spinners to juniors, were on public sector contracts this month. The National Audit Office (NAO) said a mass of contracts approved in 2003 and implemented in 2004 were not great for taxpayers. Karen Taylor, director at the NAO, said, "As far as the public and taxpayer are concerned, the benefits they should have been expecting to see have not materialised to the extent they should have done." It sounds just like any government IT project, but this is not about IT. The contractors in question are general practitioners (GPs), the front line in the fight to keep the nation healthy. According to the NAO, GPs worked for seven hours less per week but earned 58% more. Smelling badly of doctor-bashing-spin, the NAO added that, even though all government-imposed targets had been met, productivity had fallen. Writing on the CUK bulletin board, DimPrawn said, "I wish my IT contracts were this good." He might well wish. Last month's gloom, on the face of it, has continued. For a start, the good eggs over at Ovum say IT project experts will "bear the brunt," as a raft of economic uncertainties force the rethink of IT plans. Demand for IT project services has shrunk in the face of economic turmoil and will continue to slowdown, possibly until 2011. However, the actual figures they publish do not seem as gloomy as the statements. While last year, the UK market for project services, including IT consulting, systems development and some IT training, grew 6%, 2008 project services are predicted to grow 5.1% Globally too, 2008 growth in IT spending is predicted to slow, but still peak at $1.7 trillion, representing 6% growth. Well, ding dong. This might be low growth for the IT sector, but it doesn't sound all that gloomy. No need to get the pistol out just yet. Nevertheless, the general economy is making contractors nervous as Rootsnall suggests on the CUK bulletin board, "This burst of inflation is making me worry. When I'm really fed up at work I do a quick calculation of how many years I have to suffer in front of a VDU; I think it is climbing at the moment." Quite probably, then, the worst that can be said is that it may take a few months more to put "Plan B" into action. Unless, that is, your "Plan B" depends on buy-to-let. "We've overdeveloped certain areas and built the wrong type of properties. The credit crunch has put the top hat on it," Michael Jones, director of the Michael Jones Estate Agents, told Auntie Beeb after Cardiff-based A & A Property – with more than 250 houses and flats on its books – went into administration. Jones advised individuals with buy-to-let properties to watch the market and "sit tight". Yet the month has not been without amusement. Once again Microsoft lost an argument with the EU and was fined another load of dosh for failing to comply with legal orders designed to reverse its anti-competitive behaviour and demand that it share vital parts of its software with rivals. The final amount is still counting, but the latest fine adds another £680m to the bill. That's equivalent to the economy of Sierra Leone, or Belize. No doubt the company will raid its rainy day account for some small change to keep the competition commissioner quiet for a bit. With Microsoft second quarter financial results up by 30% to $16.37 billion and operating income up by 87% to $6.48 billion, the amount will hardly be missed. Meanwhile the UK government continues its attack on contractors, (not just GPs). Crawford Temple, director at compliance organisation Professional Passport, wrote for CUK this month and said there will be two main changes for contractors working under umbrella companies One: A reduction in expenses you are able to claim. "For example, we expect it will now become common practice for umbrellas to only allow travel and subsistence claims from the second assignment onwards." Two: You will have to provide more receipts or firm evidence that expenses have been incurred. "Non-receipted expenses policies have always been difficult to manage and have often encouraged exaggerated expense claims. Providers cannot afford to run this risk in the future," he said. The advantages of having a service company take care of your business administration get steadily thinner, and we have not heard the last of HM gov. Vs. contractors, to be sure. But at least it's rugby season, and contractors were dismissive of over a hundred letters flooding into the Beeb this month complaining of over-lengthy six-nations coverage. "Anyone who complained can just **** off in my opinion," said contractor, AlfW. "I have to endure hour after hour of soaps, stupid minor celebrities doing something uninteresting, dumb American 'comedies' and camp-idiot-dressing-up-insecure-women rubbish. So good on them [the BBC] for showing a whole day's worth of stuff I'm interested in." William Knight Feb 29, 2008 Email this article Printer friendly page Previous Page
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