Cybersecurity Budgeting for 2025: Priorities for UK Businesses

Article

Publish Date:

1 April 2025

Companies should strategically budget for cybersecurity in 2025 to enhance security and reduce financial risks. UK businesses must prioritise cybersecurity budgeting to protect data, ensure compliance, and maintain continuity amid rising cyber threats.

Understanding the Growing Cybersecurity Threat Landscape in the UK

Over 50% of medium and 70% of large UK businesses in 2023, costing over £3 million on average.

SMEs in the UK, making up over 99% of businesses, are increasingly vulnerable to cyberattacks due to outdated security.

Cyber threats affect all businesses, requiring proactive and well-funded cybersecurity strategies to combat ransomware, phishing, and supply chain vulnerabilities.

Key Cybersecurity Budgeting Priorities for 2025

1. Advanced Threat Detection & Response

AI-driven threat detection tools are essential for combating increasingly sophisticated cyber threats and minimising data breach impacts.

Budget Considerations:

Implementing Managed Detection and Response solutions.
Investing in Security Information and Event Management (SIEM) platforms.
Using AI and machine learning for proactive threat hunting.

2. Employee Cybersecurity Training & Awareness

Human error causes almost 90% of cybersecurity breaches. Investing in ongoing cybersecurity training can reduce risks from phishing attacks, social engineering, and poor password management.

Budget Considerations:

Implementing regular phishing simulation tests.
Providing cybersecurity awareness training for all staff.
Encouraging a security-first culture through policy enforcement.

3. Incident Response & Business Continuity Planning

A good incident response plan helps businesses respond quickly to cyber threats. This reduces downtime and financial losses. UK businesses should allocate funds in 2025 to develop and test plans for resilience.

Budget Considerations:

Creating and testing an incident response playbook.
Investing in cyber insurance to mitigate financial losses.

Conducting disaster recovery drills to evaluate response effectiveness

4. Cloud Security Investments

Businesses cloud security to protect against cyberattacks and data exposure in the digital-first economy. The UK’s cloud security market is projected to reach $163.39 million by 2025.

Additionally, UK organisations anticipate an average cybersecurity budget increase of 31% in 2025, with investment priorities including cloud security.

This growing investment highlights the urgent need for stronger defences as cyber threats continue to evolve.

Budget Considerations:

Implementing Zero Trust security architecture for cloud environments.
Enforcing end-to-end encryption for cloud-stored data.
Regularly auditing cloud configurations to identify vulnerabilities.

5. Regular Security Audits & Compliance Monitoring

Regular security audits are crucial for UK businesses to comply with data protection laws and prevent cyber threats.

Budget Considerations:

Hiring external cybersecurity auditors for unbiased assessments.
Ensuring compliance with industry-specific regulations.
Investing in cybersecurity frameworks such as ISO 27001 and Cyber Essentials

Building a Cyber-Resilient Business in 2025

As cyber threats continue to escalate, UK businesses must shift from reactive to proactive cybersecurity strategies. Investing in modern security technologies, educating employees, and ensuring regulatory compliance will be crucial to maintaining business resilience.

Secure Your Business with Trustack

At Trustack, we provide expert guidance in developing cost-effective cybersecurity strategies.

From risk assessments to compliance support and threat monitoring, we help UK businesses make security investments that suit their budget and needs.

Our tailored solutions protect businesses from cyber threats and help ensure regulatory compliance.

Get your business on the front foot