Your Systems Are Online. Are Your Defences Keeping Up?

Most UK small businesses now operate digitally as standard. Accounts are online. Records are stored in software. Submissions and payments happen through connected systems.

For many firms, things like Making Tax Digital (MTD) simply made this shift more visible. Digital records, approved software, and regular online submissions are now part of day-to-day trading.

That’s more efficient, but it also means more of your business is connected to the internet, more often. As your business relies more on digital systems, is it properly protected from cyber threats?

The honest answer for many businesses is: not fully.

Practical video: plain-English cyber security for small businesses

FSB and the British Standards Institution recently ran a practical webinar for small business owners on business resilience, including cybersecurity. It explains where risks really come from, what actually helps, and why preparation matters more than perfection.

Tip: The video starts at the point where cybersecurity is discussed in plain English, not theory.

Digital working brings digital risk

When core processes move online, your systems and data are naturally more exposed. Without the right protections in place, attackers don’t need sophisticated tools to cause damage.

Small businesses are targeted because:

Security setups vary
Passwords get reused
Networks are basic but trusted
Software isn’t always updated

Much of this activity is now automated. Attackers use technology, often AI-driven, to scan for weaknesses at scale.

Cyber Essentials: your first line of defence

The National Cyber Security Centre (NCSC) offers a simple certification called Cyber Essentials. It’s a basic, government-backed standard that demonstrates your business has essential protections against the most common cyberattacks.

Access the Cyber Essentials programme

Here’s why it matters:

It gives you simple, structured actions to secure your business.
It protects against common threats like malware, phishing and password attacks.
It reassures clients, partners and insurers that you take security seriously.

Even if you don’t get certified straight away, following the Cyber Essentials guidance helps you close obvious gaps in your cyber defences.

✨ Fact: Businesses with Cyber Essentials are much less likely to suffer common cyber attacks, and when they do, they recover faster.

What “good cyber basics” look like in everyday tools

Most SMEs rely on tools like email, cloud storage, shared documents and remote access, often through Microsoft 365.

Microsoft publishes official security guidance for small businesses using these everyday systems, with practical steps to reduce risk such as securing email accounts, enabling multi-factor authentication, limiting admin access and protecting business data.

👉 Microsoft 365 security best practices for business (official guidance)

This guidance focuses on basic security hygiene; controls many small businesses already have access to, but may not have fully switched on.

The insurance response

“The initial response to a cyber attack is crucial. Cyber cover ensures access to specialist support when you need it most, helping minimise potential damage through swift, expert intervention.”

FSB Insurance Service, The Critical Need for Cyber Insurance in the Digital Age (2025)

When a cyber incident happens, the first 24 hours are not about fixing everything. This period is about stopping things from getting worse and making the right decisions early.

The Association of British Insurers states that modern cyber insurance policies not only provide financial compensation but also support businesses in responding to an incident, helping with specialist advice, threat monitoring, and incident recovery planning.

What businesses often don’t realise is that a cyber insurance policy can change how those first decisions are made. Modern cyber policies are built to support businesses during an incident, not just after it, by giving access to specialist help that most SMEs do not have in-house.

In practical terms, the first 24 hours typically focus on:

Who do you call first? Activating a dedicated incident response team instead of relying on guesswork or ad-hoc IT fixes.
What not to touch? Avoiding actions like deleting files or restoring backups too early, which can make things worse.
How to contain the problem? Isolating affected systems to prevent further spread.
What needs recording? Preserving evidence and logging actions for legal, regulatory and recovery purposes.
How recovery is staged? Bringing systems back safely, in the right order, under expert guidance.

This is why insurers like Beazley publish free incident response planning tools. They reflect how insurers expect incidents to be handled and help businesses prepare before something goes wrong, so those first hours are calmer, faster and less costly.

👉 Beazley cyber incident response planning tools

If you use these tools, you’re not learning about cyber risk in theory. You’re creating a simple, practical playbook for what happens when something goes wrong, who decides, who is contacted, what gets isolated, and what must be protected.

Instead of guessing or reacting instinctively, you have a structured response that helps contain damage, avoid costly mistakes, and work effectively with specialist support if it’s needed.

More tools to help FSB members

👉 Cyber Action Toolkit: a step-by-step guide to build basic cyber resilience for your business size and needs.
👉 Check Your Cyber Security: a quick, online tool to highlight gaps and get basic recommendations.
👉 Cybersecurity Risk Assessment Checklist: how to run a cybersecurity risk assessment for your small business, protect assets, meet compliance, and reduce risks.
👉 Report an incident: submit details of cyber attacks and suspicious activity to the NCSC and relevant law enforcement.

Need a quick conversation?

Cybersecurity isn’t just nice to have; it’s part of staying in business. By combining technology, smart processes, and an insurance response ecosystem, UK SMEs can face 2026’s threats with confidence.

For information and support on cyber resilience cover, call the FSB Insurance Service Advice Line on 020 3883 7976. Immediate guidance could save your business hours, thousands in losses, and protect your reputation.

This content is for general information only and is not intended to provide advice or a personal recommendation. Insurance cover is subject to the terms, conditions, and exclusions of the policy. Always consider your individual circumstances and seek professional advice before arranging insurance. External websites are not under our control, and we are not responsible for their content.