A national survey of 2,000 small to medium-sized businesses found 43 per cent of respondents would leave their physical office space and go virtual.

The research from OnePoll, commissioned by Yuuguu, a web conferencing and remote working technology company, found firms are already implementing methods to reduce costs in the credit crunch.

Almost a quarter of companies are reducing staff hours, 38 per cent are cutting unnecessary travel and 28 per cent are dropping their marketing spend.

In addition, 54 per cent of small businesses would implement remote working for staff and use free software like web conferencing and online screen sharing.

Anish Kapoor, founder of Yuuguu, states: ‘Remote working is definitely on the rise and virtual meetings are a key part of saving money. Being able to hold a conference call and simultaneously share the same screen is a real boon for distance working, especially when clear communication is business critical.’

Last month Personnel Today reported many firms were using remote working to cut costs and survive the economic downturn.