Important new legislation governing data protection across Europe will be phased in from May 2018 – and businesses operating in either the UK or Europe will need to make significant changes to the way they handle and store client data.
The new General Data Protection Regulation (GDPR) is just around the corner, and businesses of all shapes and sizes are being urged to update and invest in greater cyber security measures ahead of its introduction for many reasons.
This is not only because cybercrime such as malware and ransomware attacks are growing increasingly common, but it is also because small and medium-sized enterprises (SMEs) could face potentially damaging fines and penalties for data breaches of any kind once the GDPR is in force.
In fact, the maximum fine that can be issued for a ‘serious’ breach under Tier 1 of the GDPR is a staggering £17.5 million or four per cent of the business’ global turnover, depending on which is greatest.
Such sanctions could prove detrimental to any businesses, and therefore firms are urged to upscale their cyber security ahead of time.
This is particularly important not just in terms of risk, but also because, under the new legislation, businesses will be expected to actively demonstrate that they are taking steps to protect their clients’ data.
It is also worth noting that businesses that are affected by data breaches will need to inform both the customers whose data has been accessed and the authorities in the event of a breach of any kind.