Companies across our capital face this question: should they build an in-house IT team, or should they partner with a Managed Service Provider (MSP), an IT support company.

It’s further complicated by London's unique characteristics: factors such as stringent financial sector compliance, the rapid growth of the tech startup scene, and the fierce competition for top IT talent.

This article aims to provide a concise comparison to empower London businesses to make informed choices that align with their specific needs and drive their success.

Before Choosing, Understand Your IT Needs

First conduct a thorough assessment of your IT needs – you won’t be able to decide which approach is right for you without knowing which outcomes you require.

Aim to understand both current and future requirements, including the size and complexity of your IT infrastructure. Also consider any specific software and hardware utilised, and the level of security and compliance mandated by regulations like GDPR and FCA.

Equally important is anticipating your business's growth trajectory and scalability needs. So think about things like potential expansions, mergers, or shifts in operational focus. No company has an unlimited budget so it’s also worth pinpointing your critical IT functions so you know where the key support requirements are.

It’s also true that IT is more critical and more urgent for some companies than others. It’s worth thinking about the service level you require for every function. Do you really need 24/7 support, or will you be just fine with office hours Monday to Friday?

It all helps your organisation decide what it needs and how that aligns with a realistic budget and lays the groundwork for a strategic IT decision about an IT support company.

In-House IT: Advantages and Considerations

The appeal of an in-house IT team is twofold: you get direct control of your IT, and also gain what can often be immediate responsiveness – assuming teams are resourced adequately.

With IT professionals on-site you can also sometimes get a deeper understanding of your company's unique systems which means these team members can build strong internal relationships.

Physical proximity can be invaluable for rapid troubleshooting and support – though remote support can also be very good nowadays. However, this approach comes with significant considerations.

For example, the high fixed costs associated with salaries, benefits, and ongoing training can strain budgets. It’s a concern especially in London's competitive market because you might find attracting and retaining skilled IT talent is challenging and also very expensive.

In-house teams can also face struggles with scalability and flexibility. It’s a concern for companies that grow quickly.

Outsourced IT Support: Advantages and Considerations

In contrast, outsourcing IT offers a compelling alternative. In many ways, due to the internal scale of operations, you may well find that outsourced IT is more cost-effective simply because your IT partner has more opportunities to manage costs tightly. It means predictable monthly expenses for your company, which grants access to a broad spectrum of specialised skills and expertise, which is more than what you can realistically cultivate in house. You will also get the reassurance of 24/7 support plus skilled and proactive monitoring, which will help minimise downtime exposure.

MSP services can also scale more easily, so companies can adapt more quickly to evolving needs – and you may also find that, whilst maintaining internal compliance expertise is tough, MSPs have built-in compliance expertise that can help you navigate London's heavily regulated sectors.

London-based MSPs can also counter the concern that rapid deployment is challenging simply because engineers are not that far away.  provides the added benefit of rapid deployment of local engineers for on-site support.

However, outsourced IT support also presents certain considerations. Notably, businesses may experience a potential loss of direct control over day-to-day IT operations and become reliant on a third-party provider.

Key Factors to Think About

So, when navigating the choice between in-house and outsourced IT, several key factors demand meticulous consideration.

• Cost analysis: Conduct a thorough Total Cost of Ownership (TCO) analysis, encompassing not just salaries and service fees, but also infrastructure, training, and potential downtime costs, and consider the long-term financial implications of each model, factoring in potential growth and technological advancements.

• Talent availability: Evaluate the MSP's ability to provide access to specialised skills and expertise that may be difficult or costly to acquire in-house and consider the impact of talent shortages on project timelines and operational efficiency.

• Security and compliance: Verify the MSP's security certifications, expertise, and track record in protecting sensitive data, pay particular attention to financial sector-specific compliance requirements, such as FCA regulations, and ensure that the MSP can provide detailed audit trails, and reporting, in order to comply with regulations.

• Business continuity: Prioritise minimising downtime and data loss, which can have significant financial and reputational consequences; scrutinise the MSP's disaster recovery and business continuity plans, ensuring they align with your business's critical operations, and check for redundancy in their systems, and their response times.

It’s also important to recognise the need to adapt to London's dynamic business environment, where rapid growth and change are common, and to consider how easily a chosen solution and vendor will integrate with future expansion plans.

Choosing the Right IT Support Company

Whether you opt for an in-house IT team or an outsourced MSP, the decision hinges on a careful evaluation of your specific needs and priorities. If outsourcing proves the more suitable path, selecting a reputable MSP in London is paramount. Consider their Service Level Agreements (SLAs) and contracts, paying close attention to response times, service guarantees, and termination clauses. Confirm that they possess a deep understanding of your industry and specific business needs, as this will ensure a tailored and effective partnership.

Also consider local presence and response times, as proximity can be crucial for prompt on-site support. When interviewing potential MSPs, be prepared to ask probing questions regarding their security protocols, disaster recovery plans, compliance expertise, and client retention rates.

Choosing the right partner will lead to a successful partnership that ensures your company has consistent access to top IT expertise to ensure business continuity – and business growth.