Almost half of small businesses are victims of cyber crime

Basic measures are no longer enough, says Get Safe Online

Small businesses need to do more to protect themselves

Forty four per cent of small businesses in the UK have been a victim of cyber crime, according to research published today by government internet security initiative Get Safe Online.

Of those businesses affected, more than a third (36 per cent) have suffered a virus and almost one in five (18 per cent) have been a victim of internet scams such as phishing, spyware or hacking in the last two years.

'As cyber crime becomes more sophisticated, basic measures aren't enough on their own,' said Tony Neate, managing director of Get Safe Online. 'Businesses also must look at access control, data encryption and secure password practices, as well as looking at other measures such as staff training.'

The research also highlighted that only five per cent of small businesses have access to dedicated IT support, either internally or via an outsourced provider.

Many small company owners have to take it upon themselves to keep up with the latest online security issues, a service Get Safe Online aims to provide.

The internet is an increasingly important tool for small businesses. Some 60 per cent of those surveyed said their businesses would grind to a halt if their IT system failed. Of those who had experienced online crime or other IT-related problems, almost a fifth (19 per cent) said they lost revenue as a result of downtime, with the average figure cited as £1,540.

This equates to £750m in estimated losses across the UK small business population as a whole.

Sharon Lemon, head of e-crime at the Serious Organised Crime Agency (Soca) said: 'It is relatively simple for businesses, however small, to keep one step ahead of the crooks. I urge all small businesses to use the new leaflet at www.getsafeonline.org to secure their online business today. The cost to livelihoods and the economy is too high to ignore the threat of cyber crime.'

The research also found that some small businesses are putting customer details at risk, with over two thirds (69 per cent) storing their customer details on IT equipment, even though less than a third (32 per cent) consider themselves to be fully up-to-date with current security issues.

A breach of customer details could lead to damaging bad publicity, loss of consumer confidence and potential legal action.

'It is crucial that businesses know the risks and take steps to protect themselves, particularly in the case of smaller businesses, when often someone's livelihood can hang in the balance,' said John Dunsmure, managing director of the British Chamber of Commerce.