The value of outsourcing deals in local government increased by 164% during the third quarter of 2014 compared to the same period last year, new figures reveal.
The latest Outsourcing Index, published by arvato, shows HR outsourcing account for a quarter of all outsourcing deals signed in 2014 across all sectors.
Debra Maxwell, managing director of arvato UK, said: ‘The local government sector, in particular, has bucked wider trends this quarter with continued growth in deal values compared to the same point in 2013.
‘This shows that the outsourcing sector remains an essential partner to local authorities as they continue to deal with ongoing budget challenges.’
Local government spent £108m on outsourcing deals in Q3 2014.