London Metal Exchange 'insources' its IT team

One hundred employees return to tend the IT function at the LME

The London Metal Exchange (LME) is absorbing more than 100 staff from its IT partner Xchanging in an "insourcing" operation intended to aid the development of new services by the trading exchange.

The insourcing reflects plans by the LME to deliver a number of new IT-based strategic initiatives, including the launch of LME Clear in 2014. LME Clear is an automated matching and clearing service for the Exchange's users that is intended to go live in September.

The organisation claims that the custom-built system will be able to provide the service in real-time and will be compliant with the European Market Infrastructure Regulation (EMIR).

The IT function at LME has been outsourced for almost a decade, with business process outsourcing specialist Xchanging taking control of the LME's IT function in April 2005.

Back then, the LME had only a small team of in-house IT staff, and brought in Xchanging to help it cope as the IT demands on the Exchange started to expand.

The technology team will be led by LME chief technology officer Robin Paine, and was welcomed back by LME CEO Garry Jones.

"Our decision to bring technology in-house is an indication not only of the growth of the business over the past few years but also of our future development as we strengthen and enhance our technology offering," said Jones.