Data Security in a Time of Global Change: Why It Matters Now More Than Ever

PUBLISHED 08/08/2025

In an increasingly digital world, data has become one of our most valuable assets. Yet, during this period of rapid global change, characterised by economic shifts, geopolitical instability, and technological advancements, the risks to data security have never been higher. For small businesses in particular, a single breach can lead to devastating financial and reputational damage. It’s crucial to understand the threats, implement robust policies, and protect your organisation with the right safeguards, including insurance.

This can and does affect everyone. I have even been caught out. “A few years ago, while I believed I was speaking to the business bank account manager, I was mistaken; as a result, the business lost £2,500.” True story.

The Rising Threat Landscape

Cybercrime is on the rise. In 2025 alone, global cybercrime damages are projected to exceed $10.5 trillion annually. The UK is not immune. From phishing scams to ransomware attacks, the variety and sophistication of digital threats are increasing.

Current high-threat areas include:

Phishing & Social Engineering Attacks (Threat Level: High)
Ransomware (Threat Level: Critical)
Insider Threats (Threat Level: Medium)
Supply Chain Attacks (Threat Level: High)

These are not abstract concerns. Small businesses are frequently targeted because they are perceived as having weaker defences.

Why Smaller Businesses Are at Greater Risk

Many small businesses assume they’re “too small” to be targeted. In reality, they are often seen as low-hanging fruit by cybercriminals. A breach could lead to:

Loss of sensitive customer data
Regulatory fines (especially under GDPR)
Downtime and operational disruption
Loss of trust and reputational damage

According to the UK Government’s 2024 Cyber Security Breaches Survey, 38% of small businesses identified a cyberattack in the past 12 months. Among those, 21% said the attacks had a material outcome, such as a loss of money or data.

If you handle personal data, you are legally required to register with the Information Commissioner’s Office (ICO) https://ico.org.uk/and comply with the UK General Data Protection Regulation (UK GDPR).

Key steps include:

Conducting regular data audits
Implementing clear privacy policies
Ensuring consent and transparency in data collection
Providing staff with data protection training

Failing to register with the ICO or to comply with GDPR can result in significant fines and legal action.

Business Insurance: Your Last Line of Defence

Even with the best security and compliance practices, no system is foolproof. That’s why business insurance should be part of your data security strategy.

Cyber insurance can cover:

Costs related to data recovery and business interruption
Legal fees and regulatory fines
PR and reputational damage management
Customer notification and support services

Top Tip: Speak to your insurance advisor to ensure your policy covers cyber threats and review your risk management plan regularly.

Final Thoughts

As global uncertainty continues, businesses must stay vigilant. Data security is not just an IT issue—it’s a business-critical concern. Small businesses that fail to prepare risk becoming the next headline. Now is the time to review your data protection policies, confirm your ICO registration, and discuss comprehensive risk cover with your insurer.

Protecting data protects your business.

Need Support? If you’re unsure where to start, Elevate Business Performance can help you assess your current policies and connect you with trusted insurance advisors to safeguard your business for the road ahead.

About the Author
Tim Gardner is the founder of Elevate Business Performance Ltd and a trusted Certified Executive Coach and Accredited Mentor with over 30 years of leadership experience in finance, retail, transport, and manufacturing. Tim collaborates with business owners and senior leaders to tackle strategic challenges, enhance performance, and lead with clarity and confidence.

🔗 Book a free discovery call with Tim: Meetings-eu1.hubspot.com/meetings/tim-gardner