The UK’s private sector outsourcing market recorded its strongest quarterly performance in five years in Q1, with businesses agreeing deals worth £2.42 billion, according to the Arvato UK Outsourcing Index. The research, compiled by business process outsourcing (BPO) partner Arvato and industry analyst NelsonHall, revealed the largest private sector spend since Q4 2011 (£4.04 billion) as companies ramped-up investment in digital transformation.

• The value of deals agreed by UK companies reached £2.42 billion in Q1, the largest private sector spend since Q4 2011

• Businesses spent £1.65 billion on introducing new technology between January and March

• All contracts signed in Q1 involve UK delivery

• Outsourcing deals worth a total of £2.73 billion were agreed in the UK over the period

• Telecoms businesses accounted for 18 per cent of all contracts signed in Q1

Related news: Arvato UK Outsourcing Index Released