UK Regulator to Punish Financial Services Firms for Failures with Cyber Defenses

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Britain’s Financial Conduct Authority will punish firms that are failing to get the basics right on cyber defenses, or whose botched IT projects harm consumers, a senior official at the markets watchdog said on Tuesday.

Outages at banks such as TSB have left thousands of customers without banking services and this month British lawmakers opened an investigation into such incidents.
“Based on the data that the FCA currently collects, we do not immediately stop increasing the technology and cyber incidents that affect UK financial services,” Megan Butler, auditing director of FCA, told Bloomberg. Activity.

The observer identified about 300 companies between 2017 and 2018. In October, companies reported a 138 percent increase in technology outages and a 18 percent increase in cyber incidents.

Butler said the few reports of events were likely to be a problem, and that a large majority was linked to “over-trust” in managing large IT changes in banks.

Kaynaklanan All the trends that we see now show that there is an increasing threat to customers and financial markets in the UK, due to technology outages and cyber attacks, But said Butler.

With regard to cyber attacks, FCA sees A serious security vulnerabilities ın in areas such as identifying key assets, information and determinations.

Many companies were trying to get basic information about cyberspace, which did not make regular evaluations in third place.
“Do you answer correctly? Are you taking him out? Do you stay silent for six months while trying to extract? This will be a very bad result, bir said Butler. ”Yes, if we see inappropriate responses and improper protection, we will definitely take action.“

He said financial boards should have sufficient skills and understanding of technology issues.

Banks, the Libor interest rate comparison and manipulation of foreign exchange markets, such as the abuse of the industry’s culture after the abuse of scandals, he said.

I Everyone who thinks they think they’ve done has failed, “he said.

, Companies have also noticed that they need to address issues such as sexual harassment in a more complex way than in the past, cinsel said Butler.

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