Confidence in the IT sector has hit an all time low.
According to the ICAEW business confidence monitor, confidence has hit a record low of minus 18.2 points and businesses have been advised not to upgrade to their technology.
Ulysses has made a recommendation to firms citing that they should not spend money on technology to improve their chances of surviving the credit crunch.
Pete Turner, technical director for Ulysses, said: “This is not the time to be spending capital on new computers unless they are absolutely needed as replacement equipment. We normally recommend clients invest in IT infrastructure in the good times, so they can reduce costs at times like these. Accountants should save their money until the economy picks up again.”