13th December 2017

Is The Contract Market On The Up?

12 March 2012 | by Asset Resourcing

The simple answer to this question is ‘yes, it would appear so’. We could of course end the blog post there, since we’ve asked a question then answered it, but you know by now that Asset Resourcing doesn’t do half measures.

We do what it takes to ensure our clients and candidates are happy by offering an unrivalled service across our four industry sectors – IT, Admin & Clerical, Accountancy & Finance and Sales & Marketing.

Getting back to the original question, the outward signs are positive.

Hourly rates are up from June 2011 when the average was £30.84 to March 2012 where they are £31.25. It doesn’t seem much, but a 1% rise is still positive. Also, 40% of IT contract roles are based in the South East whereas before the fall of 2008, that number was just under a third.

It is also worth noting that contract techies based in London and the South East typically earn up to 20% more than their northern counterparts thanks to the recent emergence of London (in particular the areas around Shoreditch, affectionately dubbed ‘Silicon Roundabout’) as a major hub for both IT start-ups and major players such as Google and Cisco.

Director of Asset Resourcing Ben Sweeting is equally as positive about the contractor market. ‘We have seen a four-fold increase in the number of IT-contract posts we’ve filled over the last 12 months, meaning specifically interim appointments where we run the contract, pay the contractor and have a liability to the client to see the project delivered’.

Taking a step back and looking at the overall picture, the demand for IT specialists in all areas is rising, especially in the financial services sector. Banks and financial institutions are now paying closer attention to  more robust regulatory issues and compliance, and this fuels demand for short and medium term candidates with specialties in web development, programming and cloud computing.

In addition, as more and more businesses are being ever-watchful over their budgets, particularly in areas traditionally hit during leaner times like IT and sales & marketing, this spells good news for contractors.

 It’s becoming more and more popular to replace permanent staffers (when they leave) with contractors and, says Richard Talbot, a director at Randstad, ‘43% of IT ‘permies’ expect to leave their jobs by the end of 2012 and this means companies are turning more and more to contractors to fill the skills gaps’.

According to the Professional Contractors Group, 75% of contractors have been in work for eleven out of the past twelve months and 84% expect even more work through 2012 and into 2013.

This confidence appears to have seeped through to contractors and it’s very good news for us at Asset Resourcing as we’re seeing huge increases in the number of contract positions we are being asked to fill.

Regardless of the type of job or employee you’re after, we are committed to ensuring we find you exactly what you’re looking for. It’s a simple business model, but it works!

Have a good month and we’ll see you in April.

Ben Sweeting & Michelle Scott – Directors, Asset Resourcing


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