Nearly Half of UK Small Businesses Hit by Cyber Incidents as AI Raises the Stakes, ESET Finds

The survey of 500 UK SMBs, reported by TechRadar, found that 49% had experienced an incident in the previous 12 months, and 13% of those businesses had dealt with more than one. Many respondents said they expect the situation to worsen as criminals adopt AI-assisted tools to launch more powerful attacks.

AI-powered malware was the top security concern among those surveyed. The most commonly reported causes of attacks were phishing, unpatched vulnerabilities, weak passwords and a lack of monitoring.

The report also identified a set of operational problems behind those gaps: difficulty keeping up with the latest cybersecurity threats, keeping pace with new technology such as AI, managing vulnerabilities and patches, and a shortage of skilled workers. Security can go neglected at smaller companies where staff have many other tasks to handle, the report noted.

The findings carry weight because SMBs generate more than half of turnover in the UK private sector, about £2.8 trillion, which makes them frequent targets for attackers.

There was some indication of a response. More than half of those surveyed, 55%, said they expect to increase cybersecurity budgets over the next 12 months, with employee training and awareness and cloud security named among the top investment priorities.

"It's true that AI will help cybercriminals to speed up their attacks against UK businesses. But the core tactics used like phishing or exploiting software vulnerabilities will largely stay the same," said Jake Moore, global cybersecurity advisor at ESET. "Until organisations can improve their security by locking down the basics, smaller businesses will be easy pickings for cybercriminals looking to steal sensitive data and turn a profit."