Dan Hyde, a partner at the London law firm Howard Kennedy says that increasing fines and prosecutions for cyber breaches will force businesses and organisations to take greater steps to tackle rising cyber attacks. Dan Hyde, Partner, Howard Kennedy said: “2015 saw some of the biggest data hacks to date costing the global economy some US$400bn, highlighting the inability of companies to properly guard valuable entrusted data. The consumer has a right to expect organisations that require the provision of personal information to properly safeguard it.
“Dedicated cyber security and data breach reporting officers will inevitably become the global norm for businesses that are vulnerable to attack.”
The European Union has been tinkering with, but has not yet implemented, a single Europe wide Data Protection Directive that would equalise regulation across all EU States. When in force this will force organisations to formally report data breaches and beef up cyber security to ensure adequate protection is in place.
Dan adds: “Fines for non compliance could, if the EU gets its way, be as much as 5% of an organisation’s entire turnover. In the US, federal agencies are prosecuting firms where sub standard cyber security may have contributed to a data breach, and I confidently predict that the UK will soon see companies appointing cyber security and data breach reporting officers as part of their compliance obligations.”
