European businesses are being more proactive than their US counterparts when it comes to investing in new technology, research shows.

Some 37 per cent of the IT budgets of large European companies are being spent on new investments, compared to 30 per cent in North America, according to Forrester Research's Governing IT in the Enterprise report.

The analyst spoke to 1,300 technology decision makers in Europe and North America and concluded that Eruropean businesses are more confident and optimistic about IT spending.

In the US, 6.2 per cent of It budgets are allocated for research and development, compared to 8.5 per cent in Europe.

When it comes to the amount of company revenue spent on IT, the figures are closer, with 4.8 per cent spent in Europe and 4.2 per cent North America.

The research also highlighted an increased involvement in IT by top-level business managers.

Some 31 per cent of North American businesses require chief executive sign-off for new IT investments, compared to 38 per cent of European companies.

Forrester says governance by committee has become the norm with 67 per cent of large companies having committees of senior business leaders to oversee and prioritise IT investments.

Some 26 per cent of companies said they include business units in choosing software, and 21 per cent help select consulting vendors.