IT recruitment firm Spring Group gave the technology recruitment market a boost last week when it indicated revenues for 2004 were likely to be more than 35% higher than for 2003.

Chief executive Richard Barfield said that the firm had experienced a pick-up in temporary recruitment over the last 18 months as companies began investing in IT projects that had been deferred.

The last three months of 2004 also boosted Spring’s permanent staff business, as confidence grew about the state of the economy.

“It’s still early days, but the outlook for 2005 is pretty encouraging,” said Barfield.

Spring expects revenues for 2004 to hit £470m, compared to £384.4m in 2003.

Barfield added that net cash balances were also ahead of market expectations.

Spring’s full-year results will be announced at the end of March.