The threat of cyber attacks is growing. According to the Financial Conduct Authority, there were 5,857 cyber security incident reports from financial businesses in 2020 – this was up from 3,863 in 2019.

The shift to remote work and the adoption of cloud-based services has aggravated the nation’s cyber security risk. However, some are more at risk than others – and financial services are particularly vulnerable. These businesses typically hold a wealth of extremely sensitive data, and the rapid digital transformation of the industry in recent years means there are many entry points for attackers.

Financial businesses already understand how serious cyber attacks can be. The real challenge is keeping up with how quickly cyber criminals’ strategies are evolving.

So where should you start? 

We’ve identified the three main cyber security challenges facing financial businesses today, as well as the solutions that can help.

Financial businesses have complex tech stacks with many layers, applications and integrations – all of which are central to the ongoing transformation of finance. But this means there are more entry points for cyber criminals to target, making businesses more vulnerable.

Many financial businesses also rely on third-party service providers. Third-party risk management has been a regulatory requirement for years, but that doesn’t mean serious security incidents and data breaches don’t happen. This is especially the case when third parties use different endpoint solutions. While these solutions successfully target specific security issues in isolation, they don’t provide fully integrated cover, creating blind spots in your security posture.

BT can help simplify such complex landscapes – integrating solutions seamlessly, while a security threat intelligence solution provides continuous, comprehensive security. 

A ransomware attack starts when a user downloads malware, usually from a website or email attachment. The malware then holds the target’s system hostage until they agree to pay a ransom to the attacker. 

Ransomware attacks targeting the finance industry are becoming more common and sophisticated. In 2021, more than half (55%) of businesses in financial services were victims of at least one ransomware attack, up from 34% the previous year.

Unfortunately, the damage can go one step further. According to research from Accenture, cyber criminals are now releasing sensitive financial corporate data to the dark web – known as ‘data disclosures’ – to sell to others or to generate more money from their victims. This is known as ‘double extortion’.

To protect against such attacks, financial businesses should consider managed firewall services as a robust firewall can eliminate ransomware attacks before they hit your network. 

All businesses are vulnerable to DDoS attacks. But for financial businesses, the implications can be particularly serious – triggering panicked customers, reputational harm and potential financial loss.

A DDoS attack is typically initiated by a vast army of malware-infected host machines controlled by one attacker. The attack floods the target IP address with illegitimate requests, consuming the site’s resources. The IP address’ traffic becomes saturated, preventing legitimate users from accessing services.

DDoS attacks can also be used as a diversionary tactic. While businesses attempt to regain control, cyber criminals steal sensitive customer data, enabling them to continue with fraudulent activities such as opening fake accounts.

To protect against DDoS attacks, financial businesses should consider managed DDoS protection, which can ‘clean’ your internet traffic by sorting through normal and malicious requests.

Considering these challenges, it’s important for businesses in financial services to have a reliable security partner by their side. 

BT can ensure your cyber security is as robust as possible to minimise the risk from attacks. With 70 years of managing the threat environment and over 3,000 dedicated security experts, we’re fully equipped to keep your sensitive data safe and cyber criminals at bay.

Download our security whitepaper to find out more about how to stay safe against cyber security threats.