Election roundup - what does it mean for IT?

With voters if not flooding, then at least meandering, towards polling stations today, Computing breaks down what the possible outcomes could mean for the UK's technology industry

The UK general election unfolds today, and recent polls have indicated that no party is likely to win a convincing majority. That means we are most likely to see another coalition government, although it could well be days before we know which parties are part of it.

Here's a brief rundown of what the main parties are offering for the business sector, and wider economy.

Europe The Conservatives' traditional Europhobia could spell a British exit from the EU, which the Economist, among others, has labelled "a disaster". However, with the national feeling generally reported to be wary of Brussels, a referendum on continued British membership of the EU is very possible whoever finds themselves in Number 10 - although Ed Miliband has been quoted as saying such a move would be "unlikely" with Labour in power.

Immigration
Immigration too is a key issue for businesses, with many in the technology sector supplementing their staff with skilled workers from overseas.

The Lib Dems appear the most progressive of the main parties towards welcoming immigrants, however they are likely to at best be the junior partner in another coalition

David Cameron promised to cut immigration to "tens of thousands" when he took office five years ago, but has singularly failed in that ill-judged endeavour. The same policy was however described as an "ambition" by Chancellor George Osborne should the Tories win another term.

Labour calls immigration "important for Britain's future", and cites a list of controls including a ban on immigrants claiming benefits for two years as policies it will implement should it win.

Economy
The budget deficit stands at five per cent of GDP, the second highest in the G7 group of wealthy nations. Employment may be high, but both living standards and productivity is low, and wages have fallen for six consecutive years (adjusted for inflation).

Under the coalition government house prices have soared in part due to a lack of new housing being built, especially so-called "affordable" homes. The Conservative policy to spare houses worth up to £1m from inheritance tax further exacerbates the feeling of unfairness for those unable to afford homes.

Over the past five years government spending on public services has fallen from 45.7 per cent of GDP to 40.7 per cent. Britain has cut around one million public-sector jobs, but managed to maintain very healthy employment figures nationally. This counts towards the coalition's favour.

Labour promises to continue the programme of deficit reduction, albeit at a slower pace, which is less likely to stymie growth, and therefore the economy.

The industry view

Lawrence Jones, CEO of UKFast, would like to see the next government focus on the digital skills gap.

"In my opinion, the current administration have done a reasonable job when it comes to encouraging growth and innovation in the digital and tech industries," said Jones. "However, more can certainly be done, and I think the next government really needs to focus on accelerating plans to bridge the digital skills gap - probably the biggest barrier to growth - with education and apprenticeships.

"Ultimately, digital progress is a key indicator of our national progress and I just hope that in the event of the seemingly inevitable hung parliament, the progress which has been made on the digital economy is not endangered."

Andy Soanes, CTO at Bell Integration, advises both public and private sector organisations to be wary of delays to expensive IT implementations at this time.

"While the horse trading could go on for some time, there are some things we can already say with certainty," said Soanes. "Austerity will continue in one form or another, meaning that government IT projects on the local or national scale are likely to see their budgets squeezed. Similarly, in the private sector keeping the recovery on track means ensuring that projects can be completed on time, on budget and with a definite return on investment.

"For private or public sector organisations, the effects of a poorly planned or implemented project can therefore have even greater repercussions than usual. Patience with delays or extra expense will be at an absolute minimum, and IT teams could well suffer the consequences.

"In order to avoid this, going into any project of any size with the right knowledge will be crucial. At the very minimum, teams should follow three golden rules:

1) Knowledge is power. Know exactly what is currently being delivered, how it is being delivered, what needs to change, and what the project's goals are. Without knowing the precise start and end points, a project could meander anywhere.

2) Know your limits. Unless you know precisely what your organisation, and people, are capable of; what they desire; and what level of change they will accept, you can't tell if a project is achievable, will require outside help, or is a lost cause.

3) Stay in control. Whatever type of change you're going through, the buck always stops with the CIO. If a project is at risk of spiralling out of control, then the organisation needs to once again question whether this is the change it needs, and whether it is being done in the best way.

"These aren't an automatic fix for every potential issue, but they will at least help make sure that, whatever uncertainty the next weeks and months bring, IT projects won't be included."