Reframing Data Breaches: Understanding the Harm

Reframing Data Breaches: Understanding the Harm

When organisations hear “data breach,” their immediate concerns often revolve around legal compliance, regulatory fines, and reputational damage. But what about the people impacted? At the Data Protection Practitioners’ Conference 2024 (DPPC24), the “What’s the Harm?” reframed how we think about data breaches, urging organisations to recognise the human impact and adopt more compassionate, trauma-informed responses.

This blog explores the key insights from DPPC24 on data breaches, focusing on their social and psychological consequences and practical steps for organisations to handle breaches better.

The Human Impact of Data Breaches

At DPPC24, real-life examples illustrated how data breaches can profoundly disrupt lives. Imagine having your home address exposed, forcing you to move for safety, or facing stigma because sensitive personal information was leaked. These examples show that the consequences of breaches go far beyond technical errors—they often lead to trauma, fear, and loss of trust in systems.

The session also highlighted the “scarcity mindset” triggered by breaches. Individuals may avoid using vital services (like healthcare) for fear of further exposure. Organisations, in turn, may downplay the breach’s impact to avoid “opening the floodgates” to compensation claims. This vicious cycle undermines trust and accountability.

Key Lessons on Responding to Breaches

DPPC24 emphasised that how an organisation responds to a data breach can significantly influence the harm caused. Here are the key takeaways:

1. Acknowledge the Harm

Organisations often treat breaches as administrative errors, but it can feel deeply personal for affected individuals. Acknowledging the harm shows empathy and helps rebuild trust.

2. Adopt Trauma-Informed Practices

Trauma-informed responses prioritise the emotional and psychological well-being of those affected. This might involve clear communication, avoiding blame, and offering support services.

3. Listen to Affected Individuals

Ask people what they need and how you can support them. Some may want reassurance that their data is secure; others may need compensation or counselling.

4. Take Ownership

Avoid shifting blame or minimising the breach. Be transparent about what happened, what’s being done to address it, and how future incidents will be prevented.

5. Support Staff Involved

Breaches can also impact the employees responsible for the mistake. Compassionate internal handling can prevent burnout and maintain morale.

Practical Steps for Organisations

The session offered actionable advice for improving breach management. Here’s how your organisation can respond better:

1. Build a Compassionate Breach Response Framework

Train staff on trauma-informed practices and integrate them into your incident response plans. This ensures that responses are not just procedural but also empathetic.

2. Document the Human Impact

Go beyond reporting technical details. Capture the experiences and needs of those affected, using this information to inform ongoing improvements.

3. Improve Communications

Ensure breach notifications are clear, timely, and supportive. Avoid legal jargon and focus on explaining the steps being taken to protect affected individuals.

4. Collaborate with Experts

Partner with mental health advisors or community advocates to provide tailored support.

5. Learn and Adapt

Every breach offers lessons. Conduct thorough post-incident reviews to refine your policies and practices, ensuring they align with both legal requirements and human needs.

Why a Human-Centred Approach Matters

At its core, data protection is about people. By adopting a human-centred approach to breach management, organisations can meet regulatory obligations, restore trust, demonstrate accountability, and strengthen relationships with stakeholders.

As one speaker at DPPC24 poignantly noted:

“When our personal data is exposed, we lose not just trust in systems, but faith in safety itself. You have the power to restore that trust through careful and compassionate data protection.”

Closing Thoughts

Data breaches are more than administrative headaches; they are deeply personal events for those affected. By reframing breaches as opportunities to learn, connect, and support, organisations can move beyond compliance and foster a culture of care and accountability.

Stay tuned for the next post in our DPPC24 series, where we’ll explore the risks and opportunities of artificial intelligence in data protection and how organisations can navigate them safely.

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Consent – More Than Just a Checkbox: Insights from DPPC24

Consent – More Than Just a Checkbox: Insights from DPPC24

Introduction

Consent is a cornerstone of data protection, often seen as a legal formality. Still, the conversation at the Data Protection Practitioners’ Conference 2024 (DPPC24) made it clear that consent needs to go beyond mere compliance. It should empower individuals, foster trust, and align with ethical data practices. In this blog, we’ll delve into the insights shared at DPPC24 about the complexities of consent and explore how organisations can make consent meaningful, transparent, and fair.

The Challenges of Obtaining Consent

The DPPC24 session on consent began with a powerful story that illustrated individuals’ social and emotional pressures when asked to provide consent. The example involved a child being asked to provide her fingerprint data for school purposes despite her family’s decision not to consent. The session highlighted how such situations can alienate individuals and make them uncomfortable, especially when alternatives are not clearly communicated.

This story exemplifies a broader issue: while consent is intended to give individuals control over their data, it often becomes a checkbox exercise in practice. Many people feel pressured to agree because they fear missing out on services or are not fully informed about their choices.

Key Barriers to Meaningful Consent

At DPPC24, several challenges to effective consent were discussed, including:

1. Lack of Awareness: Individuals often lack the knowledge needed to understand the implications of their consent in a complex data ecosystem.

2. Limited Alternatives: When refusing consent is not a realistic option, consent ceases to be truly voluntary.

3. Social Pressures: Situations where individuals feel pressured to conform, especially in public or group settings, can undermine the authenticity of consent.

4. Coercion and Obscurity: Hidden terms, confusing interfaces, and unclear language can prevent individuals from making informed decisions.

Reframing Consent: Key Takeaways from DPPC24

The DPPC24 speakers provided a framework for rethinking consent, focusing on making it a genuine engagement process rather than a compliance checkbox. Here are the key takeaways:

1. Engage Throughout the Process

Consent should not be a one-time event. Organisations must engage individuals at every stage of the data journey, from collection to deletion. This includes regularly updating them about how their data is being used and seeking renewed consent if the purpose of data use changes.

2. Respect the Decision to Withhold consent

It’s just as important to respect when consent is not given. Organisations should offer meaningful alternatives and ensure individuals are not excluded or penalised for refusing consent.

3. Design for Inclusion

Avoid processes that isolate individuals who refuse consent. For example, in the story of the child refusing fingerprinting, the school could have provided clear, accessible alternatives to ensure she didn’t feel singled out.

4. Transparency is Key

Simplify consent forms and use clear, non-technical language to explain what individuals agree to. Avoid using dark patterns or obscure language that might mislead users.

5. Empower Through Knowledge

Educate users about their rights and the consequences of their choices. Knowledgeable individuals are more likely to feel confident in their decisions, fostering trust between organisations and their stakeholders.

Practical Steps for Organisations

Based on the DPPC24 insights, here are some actionable steps organisations can take to improve their consent processes:

1. Simplify Consent Requests: Use plain language, avoid legal jargon, and clarify the purpose of data collection.

2. Offer Genuine Alternatives: Ensure individuals who refuse consent have access to alternative services whenever possible.

3. Regularly Review Consent Practices: Consent processes should be reviewed periodically to ensure they remain relevant, fair, and user-friendly.

4. Engage Stakeholders: Collaborate with users, community groups, and industry experts to develop inclusive and respectful consent practices.

5. Monitor for Bias: Regularly assess whether your consent processes are fair and free from unintended bias, ensuring no group is unfairly disadvantaged.

Why Meaningful Consent Matters

Consent is not just a compliance mechanism—it’s a way to build trust and empower individuals. As the DPPC24 session highlighted, data protection should always centre around people. By refining consent practices, organisations can create a culture of transparency and respect, ultimately strengthening their relationships with users.

Closing Thoughts

Consent is more than just a checkbox. It’s a conversation, a commitment, and an opportunity to engage meaningfully with the individuals whose data you collect and process. The insights from DPPC24 remind us that genuinely empowering individuals requires organisations to rethink their approach to consent, moving away from compliance-focused methods and towards practices that prioritise trust and transparency.

Stay tuned for our next blog in this DPPC24 series, where we’ll explore the human impact of data breaches and how organisations can adopt a more compassionate, trauma-informed approach to incident response.

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Preparing for the Inevitable – Cyber Security and Incident Response at DPPC24

Preparing for the Inevitable – Cyber Security and Incident Response at DPPC24

Cyber security has never been more critical for organisations, especially now, where threats constantly evolve. At the Data Protection Practitioners’ Conference 2024 (DPPC24), there was more than one session on cyber security, emphasising a powerful reality: cyber incidents are inevitable. It’s not a question of “if” but “when” an incident will occur. This isn’t meant to alarm but underscores the importance of preparation. With the right strategies, organisations can significantly mitigate the damage caused by these incidents and recover faster.

This article will explore key insights from the DPPC24 session and cover practical steps to enhance cyber resilience, from setting up robust incident response plans to implementing simple but effective tools like multi-factor authentication.

Cyber Security in the Spotlight at DPPC24

One of the standout sessions at DPPC24 was titled “Availability – the Forgotten Corner,” led by cybersecurity experts who focused on the often-overlooked components of data availability and system resilience. This session shed light on how every organisation, regardless of size, is a potential target for cyber attacks. Many businesses, tiny and medium enterprises (SMEs), often assume they’re not significant enough to be targeted, but in reality, attackers frequently employ broad tactics that can impact anyone.

The speakers reminded attendees that preparation for cyber incidents should involve everyone within an organisation, from IT professionals to everyday users who access the system. By fostering a proactive approach and building a culture of cyber resilience, organisations can better withstand the impact of an incident.

Essential Cyber Security Strategies from DPPC24

The DPPC24 sessions on cyber security provided a range of actionable insights. Here are some of the top strategies shared by the experts, which any organisation can start implementing and that don’t cost a fortune:

1. Multi-Factor Authentication (MFA)

Multi-factor authentication (MFA) is one of the simplest yet most effective ways to prevent unauthorised access. Traditional passwords can be relatively easy for attackers to crack, especially if employees reuse or choose weak ones. MFA adds a layer of security by requiring users to verify their identity through a second method, such as a text message or authentication app. This makes it significantly more challenging for hackers to breach accounts, even if they manage to obtain passwords. Organisations starting with MFA should consider prioritising high-risk systems and sensitive data first.

2. Vulnerability Management and Patching

Cybercriminals often exploit known vulnerabilities in outdated software to gain access to systems. This makes regular vulnerability scanning and timely patching essential practices for any organisation. During the session, the presenters emphasised that patch management doesn’t need to be complex or costly. Organisations can close common security gaps by scheduling regular updates and automating vulnerability scans before attackers can exploit them. A robust patch management policy can help ensure that all software remains up-to-date and secure.

3. Password Policies

It may sound logical and obvious, but the more complex the password, the more difficult it is to crack. The NCSC advises using random phrases or three random words to ensure a mix of upper and lower-case numbers and special characters. Where possible, use computer-generated passwords and a password manager.

4. Data Backup and Recovery Plans

Ransomware attacks and data breaches can lead to significant data loss, making a robust backup and recovery plan critical for continuity. Data backups should be kept separate from primary systems, ideally in a secure, encrypted format, so that they are accessible even in the event of a system-wide attack. DPPC24 speakers recommended testing recovery plans periodically to ensure they function as intended. During a crisis, a well-executed recovery plan can minimise downtime and reduce the long-term impact on the business. Organisations should also decide on a minimum viable data set they need to resume operations quickly.

5. Incident Response Plan

Having a documented and well-practised incident response plan is essential for any organisation. This plan should outline containment, eradication, and recovery steps and designate specific roles for team members to avoid confusion during an incident. The DPPC24 speakers highlighted the importance of practising incident response plans through simulated exercises, such as tabletop exercises, to ensure everyone knows their role when an incident happens. By doing so, organisations can identify and address potential gaps in their response plan before a crisis occurs.

Why Preparation is Essential

A powerful message from the DPPC24 session could be: “The time to repair the roof is when the sun is shining.” In other words, the best time to prepare for a cyber incident is before it happens. Waiting until an incident can lead to rushed, inefficient responses that increase the likelihood of more significant damage. By investing in preventative measures and training, organisations can reduce the risk of an incident and respond more effectively when it occurs.

One emerging trend mentioned was “double extortion” ransomware attacks, where attackers exfiltrate data before encrypting it, using the threat of public exposure to coerce organisations into paying the ransom. Such sophisticated tactics highlight the importance of a well-rounded incident response plan that addresses containment and communication strategies.

Next Steps for Organisations

If your organisation hasn’t yet developed a comprehensive cyber incident response plan, consider this your call to action. Here are some immediate steps you can take based on insights from DPPC24:

  • Implement MFA across all critical accounts and systems.
  • Schedule regular vulnerability scans and patch updates to ensure all software is current.
  • Set up monitoring and alerting systems to catch suspicious activity early.
  • Establish a data backup and recovery plan that includes regular testing.
  • Create and rehearse an incident response plan to prepare your team for the inevitable.

These proactive measures can go a long way in building a culture of resilience and readiness. Remember, a well-prepared organisation is better equipped to handle a cyber incident effectively, protecting its data and reputation.

Stay Tuned for More DPPC24 Insights

This blog is part of our DPPC24 series, where we share key insights from the Data Protection Practitioners’ Conference 2024. In our next post, we’ll discuss the importance of meaningful consent in data privacy practices and explore ways organisations can more effectively engage individuals in their data protection journey.

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Empowering Through Engagement: An Overview of DPPC24

Empowering Through Engagement: An Overview of DPPC24

In October, the Data Protection Practitioners’ Conference 2024 (DPPC24) was filled with insightful discussions, expert panels, and practical advice for navigating the ever-evolving world of data protection. The event, hosted by the Information Commissioner’s Office (ICO), centred on the theme “Empowering Through Engagement” and covered various crucial topics, including cybersecurity, Consent, Artificial Intelligence (AI), Data Breaches, and career opportunities in Data Protection.

A Day Packed with Insights

DPPC24 started with a keynote speech by Information Commissioner John Edwards, who set the tone for the day by emphasising the importance of involving everyone—from senior management to everyday staff—in fostering a culture of data privacy. The agenda then featured sessions such as a cybersecurity panel on “Availability – the forgotten corner” and an inspiring talk from Jeni Tennison, discussing how to make consent processes more meaningful. The day also included a panel on career pathways in data protection and ended with insights from Baroness Jones of Whitchurch on the future of online safety.

For those who couldn’t attend, catch-up videos and session recordings are available on the ICO’s event page, providing a valuable resource to revisit key takeaways.

The Importance of Engagement

The overarching theme “Empowering Through Engagement” was evident throughout the day, underscoring that data protection is not just about ticking boxes for compliance. It’s about involving all stakeholders in creating robust, proactive privacy practices. Each session contributed practical insights aimed at helping organisations not only meet regulatory requirements but also foster a deeper culture of data protection.

Main Topics Covered

1. Cyber Security

The cybersecurity panel emphasised that incidents are not a matter of “if” but “when” and stressed the importance of preparation. Simple measures, such as multi-factor authentication and regular vulnerability scans, can go a long way in fortifying defences. Key points from the session include

  • Emphasised the inevitability of cyber incidents and the importance of preparation, including having an incident response plan.
  • Discussed the significance of multi-factor authentication (MFA), vulnerability scanning, and patch management to mitigate risks

2. Consent

Consent was discussed as a legal necessity and a practice that should empower individuals. Jeni Tennison’s session highlighted the social pressures that can make genuine consent challenging and advocated for alternative approaches that respect individual choices. Key takeaways included;

  • •Highlighted consent limitations in privacy practices, especially under social pressures or coercive settings.

  • Stressed the need to engage individuals throughout the consent process and provide meaningful alternatives

3. Artificial Intelligence (AI)

The sessions on AI provided insights into its growing role in data processing. They covered how organisations can implement AI safely while mitigating risks like data bias and maintaining transparency. Key points:

  • Covered risks associated with AI include data bias, accountability, and transparency challenges.
  • Suggested thorough data protection impact assessments (DPIAs) before implementing AI tools and ensuring AI systems align with data protection principles

4. Data Breaches

Data breaches were reframed as technical failures and events with profound human consequences. A session dedicated to this topic called for more compassionate, trauma-informed responses. Key points:

  • Data breaches have profound psychological and social impacts beyond the immediate data loss. If not handled compassionately, the response can worsen the harm.
  • Emphasised documenting the harm caused and incorporating trauma-informed approaches in breach responses

5. Privacy Careers

The panel on career pathways illustrated that there is no single route to data protection. Training and career development are varied, and this field is accessible to people from diverse backgrounds. Key highlights

  • There is no single career path in data protection. Training and experience can come from various backgrounds.
  • The ICO does not give direction of specific qualifications for becoming a Data Protection Officer (DPO)
  • You don’t need to be a legal professional to be a DPO.

Why DPPC24 Matters

DPPC24 wasn’t just about presentations but about sparking a conversation on how organisations can better protect data by engaging everyone. Whether you’re new to data protection or a seasoned professional, the event offered something for everyone—reminding us all that a collaborative approach is key to navigating the complexities of today’s data landscape.

Stay tuned for the next post in this series, where we’ll dive into preparing for cyber incidents and enhancing your organisation’s cyber resilience.

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Empowering Your Team: Fostering a Culture of Data Protection Compliance

Empowering Your Team: Fostering a Culture of Data Protection Compliance

As your small business grows, data protection needs to be a priority, not just for compliance reasons but for building client trust. In the service industry, you’re dealing with sensitive client information—whether it’s personal details, payment data, or confidential project insights. This means your entire team needs to be well-versed in handling personal data safely and securely. But how can you achieve that?

The key is to create a culture of compliance within your business, where every employee understands the importance of data protection and feels responsible for it. Here’s how you can do that and ensure your team is well-trained in handling data responsibly.

Create a Culture of Compliance

Building a culture of compliance means going beyond ticking regulatory boxes. It requires embedding data protection into the everyday mindset and practices of your team. Here’s how to encourage this culture:

  • Lead by example: As the business owner or team leader, you set the tone. Ensure that data protection is a priority in your company by actively participating in training sessions, discussing compliance during team meetings, and referencing it in day-to-day operations.
  • Regular communication: Data protection shouldn’t be only discussed during a training session. Regular communication—such as a “data protection tip of the week” or quick discussions during team meetings—keeps the topic fresh and reinforces its importance.
  • Integrate data protection into everyday tasks: Encourage your team to incorporate compliance into their workflows. For example, when onboarding a new client, ensure personal data is stored securely from the beginning, or when sharing information with third-party vendors, ensure data-sharing agreements are checked for compliance.

Blended Learning Techniques for All Learning Styles

Every team member learns differently. To ensure your training program is effective, it’s important to use various teaching methods. Here’s how you can structure your training:

  • Interactive workshops: Hands-on workshops where team members can ask questions and engage in discussions are among the best ways to explain complex topics like GDPR or PECR compliance. Encourage your team to bring up real-world examples of how they handle client data and discuss any potential vulnerabilities.
  • On-the-job training: Not every learning moment has to be formal. Managers can provide on-the-job coaching by guiding employees through real-life situations. For example, walk through the process of responding to a data subject access request (DSAR) or teach someone how to properly handle a data breach scenario.
  • Email learning series: Send bite-sized updates or tips through a weekly email series. These can be practical tips such as “How to Spot a Phishing Email” or “Why Strong Passwords Matter.” Small, digestible pieces of information help reinforce training without overwhelming your team.
  • Gamification: Consider adding quizzes, challenges, or interactive simulations. For example, you could implement a “data protection champion” reward for those who consistently follow best practices or use quizzes to test knowledge retention after workshops or emails. Gamification adds an element of fun and can improve engagement with the material.

Update and Enforce Data Protection Policies

A well-drafted data protection policy is essential, but it’s only effective if everyone on your team understands it and follows it. Your policy should include clear, actionable guidelines on:

  • Handling personal data: From collection to storage, outline exactly how personal data should be handled within your business. This should cover physical data (e.g., paper forms) and digital data (e.g., email communication, databases).
  • Data breach response: Make sure everyone knows what to do during a data breach. This includes whom to report to, the steps involved in containing the breach, and how to communicate it to the affected individuals.
  • Data sharing and third parties: Outline protocols for sharing client data with external vendors or partners. Ensure that all third parties you work with are GDPR-compliant and that data-sharing agreements are in place.

It’s also important to regularly review and update your policies to reflect any changes in regulations or your business processes. Ensure your team is informed of any updates and understands how to implement them.

Use Technology to Support Your Training Program

You don’t have to handle everything manually. There are affordable and accessible tools available to small businesses that can support your training efforts and make data protection part of everyday operations:

  • Online training platforms: Tools like Moodle or Google Classroom allow you to set up courses or lessons on GDPR compliance tailored to your business’s specific needs. You can track progress, assign tasks, and offer certification for completing the training.
  • Automated compliance reminders: Software like TrustArc or OneTrust can automatically remind employees to perform routine compliance tasks, such as data audits or updating privacy policies.
  • Data protection tools: Use tools like LastPass for password management or encryption software to protect sensitive information. Teaching employees how to use these tools properly is part of your overall training program.

Encourage Continuous Improvement

Data protection isn’t a “one-and-done” task—it requires constant learning and improvement. Encourage a mindset of continuous improvement by:

  • Regular refreshers: Schedule annual refresher courses to update your team on new data protection regulations or company processes.
  • Open feedback loop: Create an environment where employees feel comfortable raising concerns or suggesting improvements to your data protection processes. This will help you stay agile and responsive to potential issues before they become problems.
  • Lessons learned: When things go wrong, don’t just sweep it under the rug. Use mistakes or near-miss incidents as learning opportunities to reinforce the importance of compliance and improve your processes.

Takeaway: Training your team in data protection requires more than just handing them a policy to read. Building a culture of compliance and using a blend of interactive, ongoing learning techniques ensures your team stays engaged and well-prepared to handle sensitive data responsibly.

Have any questions? Then, please email us or book a free clarity call in 

Need more guidance on how to implement these tips? Check out the ICO’s data protection guide for small businesses.

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How Poor Data Protection Practices Can Risk Your Business: Fred’s Story

How Poor Data Protection Practices Can Risk Your Business: Fred’s Story

As a small business, you might think data protection practices are only for big companies with IT teams and legal departments. However, one small mistake can lead to significant consequences. This week, I am going to do things slightly differently. We are going to tell the story of Fred, a local gardener who trusted his personal data to a small business—and what happened next. This may be fictitious and a bit extreme, but its roots are based on data incidents and breaches that I have supported.

A Simple Business Transaction Gone Wrong

Once upon a time in Dataford, Fred, a friendly gardener, decided to refresh his business by creating a new website. He found a small, local company called CyberWhizzaster, run by a man who seemed knowledgeable and ready to help. After some discussion, Fred handed over his personal information—his name, address, phone number, and even some financial details—and left feeling confident that his new website would soon blossom, just like his gardens.

A few days later, Fred received an email from CyberWhizzaster. Thinking it was an update on his website, Fred opened it eagerly. But what he found was not what he expected. The email began with, “Hi Fred,” but contained all of his personal information—his full name, home address, phone number, and even financial details, like his latest business transactions. To Fred’s horror, attached to the email was a photo of additional notes CyberWhizzaster had made during their meeting—some of which had nothing to do with the website build. Personal details he’d casually shared, like his family’s upcoming holiday plans, were included in these notes. Worse still, the email appeared to have been sent to multiple people, not just Fred.

Fred felt panic setting in. His sensitive information had been shared with others, and who knew how far it had spread? He quickly emailed CyberWhizzaster to find out what had gone wrong. A few hours later, they replied, offering only a brief apology: “Dear Fred, we’re sorry for the mistake. It seems an automated system accidentally sent your details to the wrong recipients. We’re investigating.”

Fred’s Quest for Answers

Fred wasn’t reassured. This was more than a minor mistake—his personal data had been shared. So, Fred decided to take it a step further. He submitted a Subject Access Request (SAR), asking CyberWhizzaster to provide:

  1. Exactly what information had been shared?
  2. What systems were they using to store and manage his data?
  3. Where his data was being held.
  4. A copy of the investigation report into how this breach happened.

Fred also asked if CyberWhizzaster had assessed the incident and if it was required to report it to the Information Commissioner’s Office (ICO), as the law requires when personal data, especially financial information, is exposed.

As he waited for their response, Fred began to think more deeply about how CyberWhizzaster had handled his data. That’s when he noticed something unsettling: the email he had received hadn’t come from a business account—it came from CyberWhizzaster@gmail.com, a personal email account. Fred’s concern deepened. Were they running a business using a personal Gmail address?

The Risk of Unsecured Data and Unvetted Subcontractors

Fred decided to call CyberWhizzaster directly to ask about their data protection measures. What he learned left him in shock:

  • They had no formal data protection policies or processes in place. Everything was “in the guy’s head,” with nothing written down.
  • They didn’t have a list of the software they used to manage data, nor did they know where Fred’s data was stored. They said, “It’s standard stuff—we picked it up on AppSumo.”
  • Even more alarmingly, Fred discovered that CyberWhizzaster used subcontractors outside the UK and EU—specifically in countries that didn’t have the same data protection laws. Fred had never been told that people outside the UK or EU might access his personal information, and now he worried about where his data ended up.
  • Finally, CyberWhizzaster admitted they didn’t even know what data they had on Fred or how long they’d been holding it. There was no system in place to keep track.

Fred was stunned. International data transfers? No tracking of personal data? If they didn’t even know where his data was or who had access to it, how could they protect it?

Fred realised that this was a serious breach of GDPR and that CyberWhizzaster was potentially exposing themselves—and him—to huge risks. They hadn’t informed him about the subcontractors outside the UK and EU and weren’t following basic data protection laws. Fred began to consider reporting the breach directly to the ICO himself since CyberWhizzaster seemed so far behind on data protection that they hadn’t even started to understand the implications of their actions.

The Financial and Reputational Impact

Fred also reflected on the possible financial consequences for CyberWhizzaster. Under GDPR, fines for data breaches can reach £17.5 million or 4% of global turnover—enormous amounts for any business, let alone a small one. Beyond the fines, Fred worried about the reputational damage they could face. Trust is crucial in any business; if customers discovered this breach, CyberWhizzaster might never recover, especially as 60% of SMEs close within 6 months of a serious data breach.

As Fred considered his next steps, he thought about his own business. He had always been careful with customer data, but now he realised the importance of being fully compliant. Could something like this happen in his business? Were his processes strong enough to protect his clients’ data?

What can SMEs learn from Fred’s experience?

If you handle customer data, it’s critical to:

  • Know where your data is stored—can you track it?
  • Have policies and procedures in place to handle personal information securely.
  • Ensure you use business-grade tools instead of relying on personal email accounts and unverified apps.
  • Be aware of international data transfers—proper safeguards are needed if your data is being accessed outside the UK and EU.
  • Conduct regular data audits to know what information you’re holding and why.

Cutting corners with data protection might seem like a good way to save time or money, but it can lead to significant legal, financial, and reputational risks.

Fred had learned his lesson. He hoped other businesses would, too. So now, I ask you:

Are you confident in your data handling practices, or could a situation like this put your business at risk? If so, why not book a free clarity call today

Could you answer the same questions Fred had for CyberWhizzaster?

Read more on how GDPR affects small businesses.