British firm Carillion expects its support services business to deliver substantial growth in 2012, helped by the acquisition of energy-saving firm Eaga and an increase in public sector outsourcing.

The group, which maintains motorways, railways, military bases and telephone lines, on Tuesday said public sector outsourcing work represented a major chunk of its bid pipeline and expected this to propel growth in the division, which accounts for around 50 percent of group profit.

Many public sector organisations at both local and central government levels are considering outsourcing large parts of their operations in a bid to meet tough cost saving measures