Key changes ahead for UK businesses and how to prepare for stricter cyber rules in 2025
Introduction
As the UK continues its digital transformation, cyber threats have become a concern for businesses of all sizes, not just large enterprises or tech firms. Whether you operate in healthcare, retail, or any other sector, your organisation is a potential target. In response, the UK government is introducing a Cyber Security and Resilience Bill, marking a significant change in how cybersecurity is regulated nationwide. While the Bill has yet to become law, the message is clear: all businesses will need to enhance their cybersecurity efforts.
Timeline
17 July 2024 – King’s Speech Announcement
The government formally unveiled the Cyber Security and Resilience Bill during the State Opening of Parliament. Its objectives include updating the 2018 NIS Regulations, broadening the regulatory scope, and strengthening the country’s cyber resilience.
30 September 2024 – DSIT Update
The Department for Science, Innovation & Technology (DSIT) confirmed plans to introduce the Bill to Parliament in 2025. Key focus areas include extending regulation to managed service providers (MSPs), data centres, and the digital supply chain, tightening incident reporting requirements, and expanding regulators’ enforcement powers.
1 April 2025 – Policy Statement Laid Before Parliament
DSIT published the official Policy Statement, confirming MSPs, data centres, and critical suppliers will be brought within the scope of the legislation. These organisations will be required by law to meet specific cybersecurity standards, promptly report significant incidents, and may be subject to audits and penalties. The Bill is expected to be introduced to Parliament later in 2025.
12 November 2025 – First Reading in Parliament
The government formally introduced the Bill to Parliament for its First Reading. While this is largely a procedural stage, several important points were confirmed: the Bill will expand scope to MSPs, data centres, and critical suppliers; tighten incident reporting requirements to cover events capable of causing harm (with notifications within 24 hours and full reports within 72 hours); give regulators stronger enforcement powers including audits and fines up to £17 million or 4% of turnover; and implement a targeted ban on ransom payments for public bodies and critical infrastructure. It also includes provisions for international information-sharing and “futureproofing” powers to respond to evolving cyber threats. No detailed debate or vote occurred at this stage, and operational details will be clarified in secondary legislation.
2026 and Beyond – Consultation and Legislative Process
DSIT will continue to engage with industry and regulators to refine the Bill. Further consultations and detailed regulatory frameworks are expected. Secondary legislation and enforcement mechanisms are likely to be clarified throughout 2026, including reporting thresholds, compliance requirements, and regulator guidance.
Why The Cyber Security and Resilience Bill Matters for Your Business
The Bill will expand the existing NIS Regulations, which previously applied mainly to essential services, to include a wider range of UK businesses, such as cloud providers, MSPs, and digital infrastructure firms.
This means:
- A greater range of cyber incidents must be reported quickly
- Regulators will have enhanced powers to enforce compliance
- There will be an increased emphasis on securing supply chains, including third-party vendors
- The UK’s approach will align more closely with international cybersecurity standards, inspired by the EU’s NIS2 Directive, although NIS2 itself does not apply in the UK, the Bill aims to uphold similar standards and promote cross-border cooperation
This change brings added responsibilities but also clearer guidance on how to manage and reduce cyber risks. Whether your IT is handled internally or through an MSP, it’s vital to understand these developments.
What Businesses Need to Watch Out For
- New regulations may apply to your business. Even if you’re not currently covered by existing rules, you might be soon, especially if you provide digital services or handle sensitive information.
- Incident reporting deadlines will be stricter. Faster reporting windows mean you’ll need strong detection and response systems.
- Supply chain security will be under greater scrutiny. You’ll be held accountable not only for your own systems but also for the security of your vendors and partners.
Don’t Wait Until It’s Law
Delaying action risks rushed compliance efforts, security gaps, or worse, breaches. To prepare now:
- Review your current cybersecurity setup
- Assess risks within your supply chain
- Update or develop your incident response plan
- Train your staff on cybersecurity awareness
- Consider conducting a cybersecurity audit to identify vulnerabilities early
Even if you’re not yet directly impacted by the Bill, your clients, partners, and insurers may soon expect higher cybersecurity standards.
How Can We Help?
As your trusted MSP, we’re here to support you every step of the way. From conducting thorough security assessments and supply chain risk evaluations to developing and testing your incident response plans, we provide tailored solutions designed to meet the new regulatory requirements. We also offer staff training programmes to boost cybersecurity awareness and comprehensive audits to identify vulnerabilities before they become a problem. Partnering with us means you’ll have expert guidance and practical support to stay ahead of the evolving cybersecurity landscape and ensure your business remains compliant and secure.
Stay Informed
Cybersecurity is a rapidly evolving area, and staying informed is key. Keep an eye on our social media channels and website resources for updates, expert insights, and practical advice on how the UK’s new Cyber Security and Resilience Bill could affect your business.
