Feeds

Batten down hatches, analyst tells IT bosses

Two sets of books are better than one

Providing a secure and efficient Helpdesk

Gartner has said business leaders should create two IT budgets for the coming year, as it warned of ongoing economic doom and gloom.

The tech analyst firm reckoned that, given the fall out from the recent credit crunch that has continued to shake the financial world, it was important for firms to have a back-up plan in place.

Gartner said a cost-cutting IT budget should be drawn up by senior decision makers alongside existing budgets already determined for the year ahead.

That way, if businesses feel the pinch from an economic slowdown, bosses can put Plan B into action.

Gartner vice president Ken McGee described the "recession budget" idea as being "plain good management".

Analysts said the belt-tightening budget should target an IT spending drop of at least 10 per cent below the top rate spending levels dished out in 2007.

Meanwhile, predictions within the financial sector continued to point to a sustained downturn for the world economy following on from August's sub-prime credit crisis in the US.

Bank of England Governor Mervyn King said today the credit crunch looked set to dig its nails in for longer than had been initially foreseen back in the summer.

Speaking on the BBC's File on 4 programme on Radio 4, King said:

"I think most people expect that we have several more months to get through before the banks have revealed all the losses that have occurred, and have taken measures to finance their obligations that result from that, but we're going in the right direction."

He added: "What I would say is that the situation now is, in my view, different from that in August, though it's not without risk."

In the interview he also shifted blame for the recent Northern Rock crisis, which prompted the first emergency cash run on a UK bank for more than 140 years, to chancellor Alistair Darling for not supporting a takeover bid.

The Bank of England is expected to make its decision about interest rates, which are currently set at 5.75 per cent, on Thursday. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
Spies, avert eyes! Tim Berners-Lee demands a UK digital bill of rights
Lobbies tetchy MPs 'to end indiscriminate online surveillance'
How the FLAC do I tell MP3s from lossless audio?
Can you hear the difference? Can anyone?
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
EU to accuse Ireland of giving Apple an overly peachy tax deal – report
Probe expected to say single-digit rate was unlawful
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
prev story

Whitepapers

A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.