In recent months, a series of high-profile cyber incidents has shaken some of the UK’s most recognisable brands; and with them, public confidence in how organisations manage digital risk.
From Jaguar Land Rover’s production shutdowns to Marks & Spencer’s social engineering breach and the distressing exposure of personal information in the Kido Nurseries ransomware attack, one message is clear: cybersecurity failures are governance failures.
This is no longer just about patching systems or restoring access. It is about demonstrating to regulators, investors, and the public that your organisation can manage digital risk with the same rigour applied to financial, conduct and operational risks.
As the UK government and regulators intensify their focus on cyber resilience, every board must now ask a crucial question: Is your organisation truly regulatory-ready?
Even a brief glance at recent headlines shows a pattern. Attackers are increasingly exploiting supply chain weaknesses and human vulnerabilities rather than direct system flaws. Four recent cases highlight this shift.
Attackers gained access through a third-party contractor using social engineering and phishing techniques, posing as staff to deceive help desk personnel. The result: severe disruption to online operations, click-and-collect services halted, and estimated losses of £300 million, alongside significant reputational damage.
A sophisticated intrusion led to unauthorised access to systems containing data on 6.5 million members. The attack caused major business interruption across payment systems and supply chains, contributing to an £80 million reduction in operating profit for the first half of 2025. Regulatory investigations are ongoing.
Still under investigation, the suspected supply chain attack forced factory suspensions and widespread production disruptions. To protect the UK automotive supply chain, the government underwrote a £1.5 billion loan to stabilise impacted suppliers.
A ransomware attack exploiting a vulnerability in third-party software exposed sensitive personal information, including photos and personal details of around 8,000 children. The incident prompted public outrage, arrests, and active regulatory and law enforcement investigations.
Across these incidents, one consistent factor stands out: third-party and supply chain vulnerabilities. When vendors or contractors become the weak link, it is the brand owner that bears the reputational and regulatory consequences.
The UK regulatory landscape around cyber risk has evolved rapidly and looks to evolve further if and when the UK government passes its proposed Cyber Security and Resilience Bill. Whether operating in financial services, manufacturing, retail, or education, organisations are now expected to demonstrate not only technical resilience but also strong governance, oversight, and reporting processes.
Below are five key areas every compliance and risk leader should be reviewing now.
1. Mandatory Breach Reporting
Under UK GDPR, firms must report qualifying personal data breaches to the Information Commissioner’s Office within 72 hours. For regulated sectors (including financial services, healthcare, and critical national infrastructure) additional or faster reporting requirements may apply, including notifications to the FCA or NCSC. Where UK companies are processing the data of customers located in other jurisdictions, this may also trigger international reporting requirements which need to be understood and considered.
Meanwhile, government proposals are advancing towards mandatory disclosure of ransomware payments and restrictions on public sector ransom payments.
Key takeaway:
Ensure your breach reporting process is documented, clearly understood, and regularly tested. It should specify who is responsible, what triggers a report, and how deadlines are met. For firms with international operations, align processes with global reporting obligations and ensure all staff understand the 72-hour rule.
2. Data Protection and Privacy by Design
The principle of privacy and security by design now extends across systems, processes, and suppliers. Controllers remain responsible for ensuring their data processors (including IT providers and contractors) maintain appropriate compliance standards.
Key takeaway:
Review your third-party risk management framework to ensure supplier contracts contain up-to-date data protection clauses, audit rights, and breach notification requirements. Regularly verify supplier compliance and treat ongoing oversight as part of your organisation’s operational resilience.
3. Ransomware Response and Sanctions Compliance
Paying a ransom may appear to be a swift route to recovery, but it can expose firms to sanctions risks under UK or international law, especially where the attacker has links to a hostile state.
Boards must be able to demonstrate that any ransom-related decisions were legally reviewed, risk-assessed, and properly documented.
Key takeaway:
If your organisation operates in a regulated sector, review your sanctions and financial crime policies to ensure they explicitly address ransomware payments. Identify in advance the external experts, including legal, forensic, and communications, who can provide guidance during a live incident. Include them in your incident response and operational resilience plans.
4. Supply Chain Risk Management
Every major UK breach in 2025 has involved a third-party or supply chain failure. Regulators now expect to see demonstrable, risk sensitive due diligence over vendors and partners, not just obligations baked into a contract. If your supplier plays a critical role to your operations, you need to be able to demonstrate how you oversee them, and what governance arrangements you have in place to ensure this oversight is effective.
Key takeaway:
Conduct thorough cyber risk assessments on all suppliers that access your data or systems, including contractors. Embed clear security expectations, incident response requirements, and liability frameworks in contracts. Cyber resilience should extend across your entire supply chain ecosystem.
5. Board-Level Oversight and Governance
Cyber risk is now firmly established as a boardroom responsibility. The latest UK Corporate Governance Code requires boards to treat cyber threats as a principal risk, integrated into the enterprise risk framework alongside financial and operational risks.
Key takeaway:
Ensure that board packs, audit and risk committee minutes, and internal reports clearly evidence how cyber risk is identified, monitored, and managed. Governance, documentation, and accountability will be critical when responding to both incidents and regulatory scrutiny.
The UK’s cyber threat environment continues to evolve, with increasing sophistication and regulatory attention. Organisations that treat cybersecurity solely as a technical concern risk falling behind those that recognise it as a matter of governance and compliance.
The most resilient firms will be those that embed regulatory preparedness into their operating models, combining effective controls, comprehensive documentation, and a culture of cyber awareness across all levels of the organisation.
Cyber incidents no longer occur in isolation from the wider business. They are public, costly, and often symptomatic of broader weaknesses in oversight, accountability, and risk management.
As the line between digital risk and regulatory compliance continues to blur, the challenge for boards is clear: to ensure cybersecurity is treated not as a specialist IT function, but as a central component of good governance.
The next major breach is not a question of if, but when. The question is whether your organisation will be ready, resilient, compliant, and accountable.
Want assistance reviewing your cyber security governance arrangements, policies and procedures? Need help preparing an incident response or regulatory reporting process? Get in touch at info@regnition.com
