Website development will be the most likely technology investment for over half of UK IFAs in 2010, a new survey by 1st – The Exchange reveals.

The fact that 52 per cent of those polled singled out the development of new or existing websites as a priority for this year indicates possible a growth in the development of online distribution channels in the run up to the implementation of Retail Distribution Review in 2012, according to the firm.

Other IT spending priorities identified by the respondents were software upgrades and smart mobile media: 19 per cent said their most probable technology investment would be implementing Microsoft Windows 7 (the replacement for Vista launched last year), while the same proportion anticipate investment in iPhone or equivalent capabilities.

Perhaps surprisingly, as computing becomes ever more mobile, only 10 per cent of the IFAs surveyed said that they were attracted to tablet PCs as a key investment, but as 1st – The Exchange points out, this may be due to the fact that many larger IFA firm provide these free of charge to member advisors.

While one in five IFAs intend to switch to Windows 7, the survey revealed that advisors are looking towards changing their operating or desktop systems with some trepidation, and are in fact more worried about the impact on their business such changes will have than the threat of online fraud and cyber-crime.

When asked what the biggest IT-related threat to their business would be in 2010, 42 per cent of advisors singled out data loss as their greatest worry, while a change of operating system or desktop software was ranked as the second biggest concern at 31 per cent. In contrast, only 8 per cent saw fraud and cyber crime as a major technological threat and just 19 per cent highlighted viruses as a worry for this year.

While 1st – The Exchange was pleased to see an increasing awareness of the threat of data loss, it cautions that advisors should not become complacent over the threat of fraud and cyber crime.

“With online fraud, hacking and computer crime now at record levels, it is imperative that advisors take these threats seriously and have a robust disaster recovery and security system in place. While it is encouraging that many advisors are aware of the growing threat of data loss, it is equally surprising that more advisors see the planned decision to change an operating or desktop system as providing more risk to their businesses than viruses or fraud,” said David Child, managing director of 1st – The Exchange.