A new directive designed to safeguard critical infrastructure and protect against cyber threats came into force across the European Union (EU) from October. But although the United Kingdom (UK) is no longer part of the EU, understanding these changes is still important, especially if your business operates in the region.
Plus, the Network and Information Systems Directive (NIS2) closely aligns with the UK’s own robust cybersecurity frameworks, including the Cyber Security and Resilience Bill introduced in the King’s Speech this summer. Preparing now could make it much easier to comply with future UK regulations as they come into effect.
Why should UK businesses adapt?
- Prepare for future regulations
Although the UK is no longer part of the EU, the interconnected nature of global cyber threats means it’s not practical to reinvent or move away from existing regulation. With that in mind, it’s not surprising that The UK’s upcoming Cyber Security and Resilience Bill is closely aligned to NIS2. By understanding what’s coming, and aligning with NIS2, UK organisations will be much better prepared for future national regulatory changes too – and of course better protected against cyber threats.
- Strengthen cyber resilience
This goes beyond compliance for compliance’s sake. When it comes into force, NIS2 is designed to protect organisations from cyber attacks and can significantly enhance cyber resilience. With an emphasis on risk management, incident response, and recovery, UK businesses that adopt these practices can better protect themselves, respond more effectively to incidents, and, ultimately, safeguard their operations and reputation.
- Cement business relationships with EU partners
Many UK organisations rely on strong relationships with EU partners, and it’s likely that NIS2 compliance could become a prerequisite for future contracts, just as we saw with GDPR. Many EU companies may require suppliers and partners to comply with equivalent cybersecurity measures, and failing to do so could limit opportunities for collaboration. By adopting NIS2 standards now, UK businesses will make it easier for EU partners to work with them. And, if nothing else, demonstrating an understanding of and adhering to high cybersecurity standards can help businesses stand out, especially in sectors where security and trust are crucial.
Prepping for the Cyber Security and Resilience Bill
When the UK government set out plans for a Cyber Security and Resilience Bill, it heralded a significant strengthening of the UK’s cybersecurity resilience. If passed, this legislation aims to fill critical gaps in the current regulatory framework, which needs to adapt to the evolving threat landscape.
The good news is, because much of the Bill and NIS2 align, if businesses have already started the process of adapting to the EU directive, the burden isn’t as great as it could be.
The Bill at a glance:
- Stronger regulatory framework: The Bill will put regulators on a stronger footing, enabling them to ensure that essential cyber safety measures are in place. This includes potential cost recovery mechanisms to fund regulatory activities and proactive powers to investigate vulnerabilities.
- Expanded regulatory remit: The Bill expands the scope of existing regulations to cover a wider array of services that are critical to the UK’s digital economy. This includes supply chains, which have become increasingly attractive targets for cybercriminals, as we saw in the aftermath of recent attacks on the NHS and the Ministry of Defence. This means that more companies need to be aware of potential legislative changes.
- Increased reporting requirements: an emphasis on reporting, including cases where companies have been held to ransom, will improve the government’s understanding of cyber threats and help to build a more comprehensive picture of the threat landscape, for more effective national response strategies.
If passed, the Cyber Security and Resilience Bill will apply across the UK, giving all four nations equal protection.
Building on current rules
The UK has a strong foundation when it comes to cybersecurity, and much of this guidance already closely aligns with the principles of NIS2 and the new Cyber Security and Resilience Bill. The National Cyber Strategy 2022, for example, focuses on building resilience across the public and private sectors, strengthening public-private partnerships, enhancing skills and capabilities, and fostering international collaboration. And National Cyber Security Centre NCSC guidance already complements new rules by focusing on incident reporting and response and supply chain security. Companies that follow these rules will be in a strong position as legislators introduce NIS2 and the Bill.
Cyber protection for a reason
This is not just about complying with the latest regulations. Cyber attacks can be devastating to the organisations involved and the customers or users they serve. Take for example the ransomware attack on NHS England in June this year, resulting in the postponement of thousands of outpatient appointments and elective procedures. Or the 2023 cyberattack on Royal Mail’s international shipping business that cost the company £10 million and highlighted the vulnerability of the transport and logistics sector. And how about the security breach at Capita also in 2023, that disrupted services to local government and the NHS and resulted in a £25 million loss.
We live in an interconnected world where business – and legislation – often extends far beyond their original borders. So please don’t ignore NIS2. By understanding and preparing for it, UK businesses can better protect themselves against cyber attacks. Make themselves more attractive to European partners. And contribute to national cyber resilience.
- Cybersecurity
