Small Businesses Face Growing Cyber Threat as Attacks Surge, NFU Mutual Warns Cyberattacks are escalating across industries, with small businesses increasingly in the crosshairs, according to new research from commercial insurer NFU Mutual. Released during Cybersecurity Awareness Month, the findings highlight the vulnerability of microbusinesses and sole traders, many of which lack adequate protection despite rising threats. The study reveals that one-third of small businesses have experienced cybercrime, with half of those incidents occurring in the past 12 months. Alarmingly, 17% of respondents identified cyberattacks as one of their biggest current challenges, while the same proportion view them as a top threat over the next five years. Yet, more than one in seven small businesses admit to taking no specific measures to defend against online criminals. The retail sector is particularly hard-hit, with 63% of surveyed retailers reporting past cyber incidents and 16% targeted in the last year alone. Customer fraud (33%) tops the list of threats, followed by phishing scams (28%), data breaches (21%), and malware (17%). James Trevis, NFU Mutual’s cyber specialist, emphasized that small businesses often reliant on digital tools but lacking robust defenses are prime targets. While risks cannot be eliminated, he noted that basic security measures, such as two-factor authentication, software updates, and employee training, can significantly reduce exposure. The findings underscore the urgent need for small businesses to prioritize cybersecurity, as attacks continue to rise in frequency and sophistication.