RSS feedsIT services jobs are expected to among the least affected by the downturn over the next couple of years, according to research by the Centre for Economics and Business Research (CEBR).
The survey warns that more than half of business services sector jobs in the UK will be cut by 2011, due to the credit crunch and recession.
The worst hit industry will be advertising, but in the IT services sector four per cent of 542,000 jobs will be lost by 2010 before a strong recovery to 573,000 jobs in 2013 – six per cent up compared to today.
The CEBR said the overall business services sector has contributed around one third of all new jobs created and five per cent per year GDP growth since 1997.
According to CEBR managing economist Ben Read, the advertising industry is forecast to shed 10,000 staff by 2013.
Read said the business services sector will find the operating environment for the next five years to be very different compared with the previous five.
"Steep drops in business investment, the collapse of the property market and construction industry, upcoming cuts in public sector spending as well as continued difficulty for firms to find capital imply difficult times ahead for this sector," he said.
