The Economic Times reported that Her Majesty’s Revenue & Customs (HMRC), the UK’s tax authority, has started its offshore outsourcing pilot programme in India with Capgemini in an attempt to lower its operational costs by $7.5 million.
HMRC may choose to increase its outsourcing activities after studying the initial programme. The pilot programme is included in HMRC’s five-year $84 million outsourcing deal for keeping track of imports and exports.
In an attempt to sooth the inevitable naysayers HMRC spokesman Andrew Bennett said, “No taxpayer data will be leaving the UK. As there will be no job losses in the UK as a result of this pilot, as this is new work. No decisions about any further off shoring will be made until the pilot is completed and the results rigorously evaluated.”
UK outsourcing trend unveiled
According to OnRec, a survey done by PeoplePerHour.com of more than 50,000 business users revealed that 60% of UK businesses have increased their outsourcing requirements compared to the last 2 years. 61% of these businesses are outsourcing their IT functions to local outsourcing vendors instead of overseas substitutes, with only 6.9% of business granting deals to the lowest bidders.
Xenios Thrasyvoulou, founder of PeoplePerHour.com said: “Responses to our survey and analysis of transactions on the site points to one conclusion: outsourcing is growing and offshoring is falling.”
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