SMES fail to prepare for attacks

The number of small and medium-sized enterprises (SMES) prepared to report a cyber-attack is “worryingly low”, according to a new survey.

Following an online attack, only 26 per cent of the firms polled would report the matter to the police, and just 23 per cent would contact their insurer.

The survey, which was undertaken by business adviser and accountancy firm Scottmoncrieff, also found that while 32 per cent of respondents said they were comfortable that their prevention measures would be sufficient in the event of an attack, only 26 per cent of SMES have invested in any form of cyber insurance.

Cyber-attacks are one of the fastest growing and most economically damaging categories of crime. The research indicates that concerns among smaller businesses over reputational damage and harming client relationships is stopping them from reporting an attack.

The survey also suggests that SMES under-estimate the cost of dealing with a cyber-attack. Among those that had already experienced an attack or data loss, the cost involved in rectifying breaches was a key concern for the future, but less so for those that had not previously been attacked.

Fraser Nicol, head of business and technology consulting at the firm, said: “SMES are increasingly aware of the threat of cyber-attack and they are taking it seriously. However, many seem unsure as to whether their investments have been effective and unclear about what they would do to recover their losses in the event of a cyberattack.

“Smesseemingreluctanceto report issues is a concern, given that reporting will become compulsory next year.”