Firms yet to take 2000 seriously

Three in four UK companies still lack a clear understanding of the year 2000 problem, according to research by the Computing Services and Software Association.

Sixty seven per cent of senior managers claim to be aware of the issue, but only 23 per cent identified the appropriate resources to start work on the faulty code.

The survey questioned over 1,000 senior executives in the public and private sectors about their attitudes to the year 2000 problem and any actions taken.

Half of the companies questioned underestimated the cost of making their computers and platforms 2000-compatible. They expected the cost to be less than #10,000, but research from the Gartner Group estimated that fixing user written applications was #500 per application user.

Although the report acknowledged that public awareness of the millennial timebomb was universal, it said there was a chasm between awareness and action. It claimed that few managers are prepared to accept responsibility for the problem.

Graham Titterington, an analyst at Ovum, said: 'It may be in the popular consciousness thanks to widespread reports in the media, but too many people still think of the year 2000 issue as only a technical detail affecting computers.'

He added that European governments have been too concerned with IT compliance problems surrounding monetary union, causing them to downplay the potential global crisis that could occur.