The Department for Work and Pensions has estimated that its IT budget will rise to £1.24 billion for the current financial year.
This rise follows a period of decreasing spending, with £1.165bn spent in 2006-07 and £1.099bn spent in 2007-08, a 5.7 per cent decrease, according to a report by GC News.
Departmental minister Stephen Timms MP had indicated higher IT project spending in April, when he provided figures showing the DWP would spend an average of £438m a year in 2008-10 on specific projects, compared with an average of £350m a year in 2005-08.
Elsewhere, HM Revenue & Customs has said that it spent £787.4m in 2007-08, down 14.3 percent on its £918.4m budget in 2006-07, with no information on estimates for the current financial year, though a breakdown of spending was detailed with £582.9m spent last year on IT services and equipment (74 percent of the total), £10.9m on IT equipment (1.4 percent), £201.9m on IT software and development (26 percent) and £1.7m on software licences (0.2 percent).
In total, the two government organisations responsible for benefits and taxation spent £1.89bn on IT in 2007-08.