Economic instability has seen outsource support services contracts fall in number, as businesses delay renewal during periods of uncertainty.

Business are increasingly trying enforce closer control on outsourcing contracts as cost efficiency is increasing demanded from services.

The reduction in outsourcing support services was revealed in KPMG’s pulse survey. Shamus Rae, partner in KPMG Management Consulting, said: “negative market conditions in the Euro Zone continue to have a detrimental impact on business confidence as uncertainty forces buyers to delay decisions, with the knock-on effect being a tighter rein over discretionary spending.”