The internet is providing a lifeline to SMEs through the recession

As a fairly grim economic outlook continues across the UK 58 per cent of small to medium enterprises (SMEs) have settled down to the fact they're not expecting a return to growth this year.

According to a study of 256 core IT decision-makers in SMEs by business internet service provider Easynet Connect, in order to improve the efficiency of businesses a poor economic growth is having a positive effect on IT improvements, though. Out of those questioned 38 per cent said they were focusing on IT investment.

It's no surprise more businesses than ever rely on being online, with most claiming the internet plays a major role in their business. In the study, 81 per cent of SMEs questioned by Easynet Connect admitted they couldn't survive longer than a day without it. Even an hour without the internet would be struggling for 48 per cent, whilst 14 per cent rely on it so much they would not be able to cope at all without it.

So important is the internet to businesses, 79 per cent said they felt it had provided them with a lifeline during turbulent economic times, making the road to recovery easier this time round than in previous recessions.

Explaining this further Chris Stening, managing director of Easynet Connect, said: "In contrast to previous downturns, the Internet increasingly lies at the core of small businesses' operations - from marketing their products, conducting research, collaborating with colleagues or providing access to significantly better value cloud computing software and services." He continued: "Since they are investing for scale, small businesses need to ensure their Internet capabilities - essentially the very heart of their business - can scale with them."

According to Easynet's MD fibre broadband could prove to be the most cost-effective set-up for SME's, with its potential to provide download speeds up to 100Mb.