UK businesses are generating an estimated £27bn in additional revenue from investing in cyber security, according to new analysis.
The research, by cyber security provider ESET, shows that 53% of UK firms have reported a direct increase in turnover linked to cyber investment. Of these, 70% said their strong cyber credentials were a primary driver of that revenue growth.
It was also found that 44% said robust cyber security infrastructure had enabled them to take on more risk, such as entering new markets or adopting emerging technologies.
Data from ESET shows that 53% of UK firms have already suffered at least one cyber-attack. The firm calculates that cyber-crime has cost UK firms £63bn in the last three years.
What does being breached actually mean for a small business? Hiscox found it costs them about £25,700 in clean-up costs, on average. This includes restoring systems, paying ransoms, replacing hardware, and investing in better security after they’ve been breached.
The second big hurdle they have to face is less measurable. Business interruption, damage to their reputation, difficulty getting customers in the future. These problems are far more likely to lead to a small business closing after a data breach.
There are many different kinds of data breaches. The main ones you need to watch out for involve exploiting human error. In 2023, Stanford University research found that around 88% of all data breaches are caused by human error.
That’s why training your staff is so important. So they can avoid the tricks and tactics that cybercriminals love to use.
Outside of human error, there are physical breaches.
There are also legal implications because of the General Data Protection Regulation (GDPR), a set of rules that makes sure personal data is used responsibly by businesses.
When a company is breached, it might be found that it didn’t protect its data properly. Thay can be investigated by the regulator (the Information Commissioner’s Office) and fined up to £17.5 million, or 4% of their annual global turnover.
Smaller businesses probably wouldn’t see a fine anywhere near this level.
But small businesses are increasingly targeted. According to Netwrix Research Lab’s 2023 Hybrid Security Trends Report, 68 percent of all organizations surveyed — large and small — had experienced a cyberattack in the past 12 months.
The best way to stop them is by prevention. Investing whatever budget you can afford into cybersecurity will make a huge difference.