� IT Costs

14th October 2004

News release from IT department (UK) Ltd

Costs always an interesting subject, and IT costs even more so. The big question is are yours too high. Most will say or course, but how do you really know ? The simple answer, compare your costs to other businesses. There will always be reasons for a variation, like a recent office move, so intelligent interpretation is required. 

The following is a breakdown by sector issued by the National Computing Center, Benchmark of IT Spending 2004. see www.ncc.co.uk

On average the survey reported operational running costs account for 68% of costs, the remaining being capital and development.

In very simple terms a company with 10 staff spends on average £20,000 pa on IT support, plus another £10,000 pa on equipment etc.

From our experience these figures look significantly higher that what our clients spend, as you see from the cross section of our clients below. These are the total spending per user, including hardware etc.

One explanation could be the difference in size, most of our clients are relatively small, while the survey was of lager company's. Or it could be we are just good at keeping our clients costs down. Naturally we think its the latter.

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