Over a million UK companies to boost outsourcing by 2027: Parseq
ROTHERHAM, UNITED KINGDOM — Demand for outsourced back-office services in the United Kingdom is expected to rise significantly over the next three years.
A study by managed service provider Parseq revealed that 1.3 million British companies plan to increase their outsourcing efforts by 2027, driven by a strong interest in technology and finance solutions.
Large enterprises prioritize technology adoption
Conducted by Censuswide, the study shows that large businesses are leading this trend, with 71% planning to enhance their reliance on third-party providers. Currently, these companies outsource about two-thirds of their back-office activities.
Notably, 39% of businesses with over 250 employees aim to outsource IT support, while 32% are considering data management services.
SMEs target accounting and finance outsourcing
Small and medium-sized enterprises (SMEs) are also keen on adopting technology services — 24% for IT and 20% for data management.
However, their primary focus is on accounting and finance, with 32% expressing interest in outsourcing these functions.
Industry-specific outsourcing growth
The manufacturing, financial services, and healthcare sectors are anticipated to see the fastest growth in outsourcing. Around three-quarters of organizations in these industries plan to increase their use of third-party services.
Manufacturing is projected to experience an 11% rise in outsourced activities, while healthcare and financial services anticipate a 6% increase.
Digital transformation fuels outsourcing demand
The study highlights a strong link between outsourcing plans and technological transformation goals. Many businesses aim to achieve cost savings and service improvements through digital tools like AI and automation.
Parseq CEO Craig Naylor-Smith emphasized the opportunity for the outsourcing industry to lead this transformation: “Our study shows demand for outsourced services will continue to grow… The smart play for the outsourcing industry is to lead that transformation and remove the risks associated with change by supporting clients with managed services that leverage the latest technologies.”
As companies strive to streamline operations and embrace digital advancements, the demand for outsourced back-office solutions is poised for significant growth, reshaping how businesses manage essential functions. This trend underscores the critical role of technology in driving efficiency and innovation across various sectors.
