UK businesses increasingly outsource cybersecurity operations to address a critical skills gap and mounting regulatory pressures. According to Logpoint’s European Cybersecurity Sector 2024 report, 52% of UK businesses currently rely on third-party managed security service providers (MSSPs and an additional 28% planning to follow suit within the next two years.
Addressing the cyber skills shortage
The UK faces the most vital cybersecurity workforce gap in Europe. Although the shortfall in skilled professionals decreased from 11,200 last year to 3,500 in 2024, 44% of businesses still need more expertise to defend against cyber threats. Another study by ISC2 finds that the global cyber workforce needs 4.8 million people to bridge the skills gap and fully secure businesses.
While economic stagnation and layoffs reduced the workforce by 4.9%, outsourcing mitigates the issue by offering access to specialized skills, cost efficiencies, and compliance support. Nearly 60% of UK businesses cited a lack of internal expertise as their primary reason for outsourcing, while almost one-third outsource to transfer accountability for cybersecurity risks.
MSSPs are particularly valued for their ability to navigate complex regulations such as the General Data Protection Regulation (GDPR) and the Network and Information Systems (NIS2) Directive. The Cyber Security and Resilience Bill could further increase demand for their services.
The global outsourcing cybersecurity market could exceed $68 billion by 2027, with cloud security, network operations, and risk management being the most sought-after skills. Regulatory compliance and cybersecurity insurance requirements also play a significant role in driving the trend.
Logpoint Regional Manager Innes Muir emphasized the strain of regulatory compliance and the duty imposed on board members and upper management to fuel the demand for MSSP services. “Outsourcing offers businesses the expertise and tools to meet regulatory needs and maintain robust security frameworks,” added Muir.
Government and industry initiatives
The UK government is taking steps to address the skills gap while supporting the cybersecurity sector. A three-day Wilton Park summit for global cybersecurity in West Sussex has convened leaders from the U.S., European Union (EU), and Japan to discuss workforce strategies and international collaboration.
Additionally, a £1.3 million regional skills program aims to enhance access to apprenticeships and cybersecurity resources across England and Northern Ireland. Grants of up to £150,000 will be available by 2025 to support businesses in strengthening their defenses.
Cybersecurity Minister Feryal Clark emphasized the importance of these initiatives. “Later this year, we’ll introduce new measures to better protect the nation from cybercrime,” Clark said, adding that these actions aim to bolster defenses and grow the £11.9 billion UK information technology (IT) security sector.
With data centers recently classified as critical national infrastructure, the UK’s combined regulatory and skills-focused efforts could enhance the nation’s cybersecurity resilience while fostering a robust talent pipeline.
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Mitchell, S. (2024, November 15). UK businesses increasingly outsourcing cybersecurity. SecurityBrief UK. Retrieved from https://securitybrief.co.uk/story/uk-businesses-increasingly-outsourcing-cybersecurity
Trim, N. (2024, November 14). UK Businesses set to Outsource Security Operations due to Widening Skills Gap according to new European survey. Technology Reseller. Retrieved November 20, 2024, from https://technologyreseller.uk/uk-businesses-set-to-outsource-security-operations-due-to-widening-skills-gap-according-to-new-european-survey/