UK firms face rising cyber threats despite record investment

Recent data from Logicalis UKI indicates that significant gaps persist in cybersecurity across UK organisations despite ongoing record investment.

The findings, detailed in the 2025 CIO Report and drawn from feedback from 100 Chief Information Officers across the UK, Ireland, and Channel Islands, show that 80% of organisations experienced at least one cyber incident in the past year, with over a quarter (26%) suffering multiple breaches.

More than a third (34%) of UK CIOs reported an increase in the number of breaches compared to the previous year. The report suggests that while investment in cybersecurity is at record levels, challenges remain in the optimisation and integration of security defences.

Breaches and threats

The research highlights continued vulnerabilities despite strong financial commitment to cybersecurity. Most UK CIOs, 96%, expressed confidence that their security investments meet their organisation's needs, but 95% acknowledged room for improvement in their security coverage.

The issue appears to be less about the scale of investment and more about how resources are allocated. For example, 54% of CIOs said they still lack a solution that fully meets their business needs, and 43% reported overinvesting in tools that have gone unused. Furthermore, 61% said their patching systems were overly complex and difficult to manage effectively.

Neil Eke, CEO at Logicalis UKI, commented on the challenges confronting security teams.

"We're seeing a disconnect between rising cybersecurity spend and actual resilience. The issue isn't investment, it's optimisation. Security teams are battling complexity, disjointed tooling and emerging threats faster than they can adapt. CIOs, not just in the UK, but globally, need support to focus on risk visibility and smarter, outcome-based partnerships to drive real protection."

According to the respondents, the top threat types were data breaches, which were identified by 45% of UK CIOs. This was followed by malware or ransomware attacks (41%), phishing schemes (38%), and social engineering tactics (35%). Newer risks like AI-driven attacks (19%) and deepfakes (10%) were also cited as emerging concerns.

AI and human factors

Cybersecurity concerns are evolving in the face of more sophisticated threats. Using AI as a tool for launching attacks is seen as a growing risk, with 42% of CIOs anticipating that threats stemming from AI will increase in future. However, preparedness for such risks lags behind. Only 31% of CIOs strongly agreed that their organisation had fully implemented an AI security policy, while more than half (52%) admitted a lack of confidence in investing in AI solutions.

Human error remains a persistent challenge within cybersecurity. Over half of CIOs (52%) highlighted that staff awareness and mistakes continue to represent substantial risks, signalling an ongoing need for robust training and clear security protocols across organisations.

Neil Eke addressed the dual nature of AI in cybersecurity, stating:

"AI is both the battleground and the solution. CIOs who invest strategically in AI-led cyber defence while addressing the human factor through education and simple security instructions will be the ones who stay ahead."

Survey methodology

The Logicalis 2025 CIO Report is based on independent research conducted by Vanson Bourne at the end of 2024. The survey included responses from 100 business and IT professionals in the UK, Ireland, and Channel Islands, all from organisations with over 250 employees and involvement in digital transformation and cloud computing.

The study forms part of a broader programme involving 1,000 CIOs worldwide and represents the eleventh consecutive year of research by Logicalis on this topic.

The report's findings suggest a need for improved optimisation and simplified toolsets, along with a continued focus on educating staff and anticipating new technology-based threats, as risk levels and the threat landscape continue to evolve.