Microsoft: weak cyber defences set to hit economic growth
Microsoft has found that Britain’s weak cyber defences could hinder economic growth unless organisations can shore up stronger protections against escalating attacks.
Some 65 per cent of senior executives in the UK’s financial services sector believe that a lack of strong cybersecurity defences could hold up the nation’s economic growth, accordingly to new data from Microsoft UK.
The research also found that only 13 per cent of UK organisations across all sectors could be considered “resilient” to cybercrime, which is increasingly becoming an issue for many companies.
Just yesterday it was revealed that several NHS hospitals in London came under attack this week, as did a number of high-profile accounts of celebrities and companies on Tiktok.
The rising number of attacks is being caused by lower barriers to entry for hackers and criminals who can now create far more sophisticated attacks rapidly and at scale using artificial intelligence.
“The financial services sector is crucial to the British economy,” said Theo Michalopoulos, general manager of financial services at Microsoft UK, “not only as one of our largest industries, but also for its contributions to the UK’s economic infrastructure, job market, trade balance and overall fiscal health.
“It is critical to UK growth that our financial sector is protected from cyberattacks and we know this is a core priority for our customers.”
Microsoft and others such as British cybersecurity firm Darktrace have urged organisations to “fight fire with fire” and use AI to bolster their defences. Microsoft has found AI can soften the blow of attacks, reducing costs by 20 per cent for compromised businesses.
If AI technologies were used “widely and effectively” in cybersecurity across the UK, organisations could collectively save the national economy as much as £52bn every year.
Despite this, less than one in four financial services businesses are currently using AI in their cyber defences, even though they have extremely sensitive data to protect.
Michalopoulos added: “The research shows many reasons for financial institutions to integrate AI as part of their regular cyber defences, making sure the industry is protected against future threats and able to defend itself accordingly.
“This will ensure the sector has its best foot forward when it comes to cyber defence and encourage continued growth and success.”
AI-based cybersecurity is also growing into a lucrative industry, with the global market expected to soar to around $135bn (£105.6bn) by 2030, compared to just $15bn (£11.7bn) in 2021.
Other companies, like London based insurance firms Allianz and Beazley, have also been vocal on the subject of cybersecurity, arguing that it is a top concern for the UK.
“In an era of accelerating cyber risk, a static approach to cyber protection isn’t sufficient,” said Paul Bantick, group head of cyber risks, “as it is often a case ‘when not if’ a firm will be exposed to a cyber-attack.
“It is therefore vital that UK businesses, whatever their size or sector, adopt a full spectrum approach to cyber risk. By pre-empting emerging cyber threats, responding to breaches as they occur, and adapting to new risks as they emerge, UK businesses will be investing in their resilience and ability to advance,” he added.