By Editor Katie Scott
According to the Bank of England’s Systemic risk survey for 2022’s H2, published in October 2022, cyber attacks remain the most cited risk to the UK financial system across the 65 respondents that participated in the biannual survey.
More than half (56%) of these respondents identified a cyber attack as the most challenging systemic risk to manage within their firm if it were to occur, second only to inflation (61%). Over a third (37%) of respondents felt that a cyber attack was the systemic risk most likely to take place.
When respondents were asked which systemic risk would have the greatest impact on the UK financial system if it were to materialise, 74% said a cyber attack – putting this risk in pole position.
These figures show that UK companies are increasingly nervous about the threat of cyber attacks, meaning that the sustainability and development of the cyber insurance market is vital if organisational demands are to be met.
However, demand is worryingly outpacing supply, according to speakers at credit rating agency S&P Global Rating’s virtual Cyber risk seminar, held on 26 October 2022.
Manuel Adam, associate director of insurance…
