The normal drivers of change; regulation, incentivisation, insurance cover and legal liability, are still immature

Hacked

Insurance and regulation are holding back the development of the global cyber security market, a senior spy chief has warned.

GCHQ director Robert Hannigan will tell senior leaders today at a private meeting organised by the agency that standards are not as high as they need to be when it comes to cyber security.

In a copy of the speech seen by the Financial Times says: “The global cyber security market is not developing as it needs to: demand is patchy and it is not yet generating supply. That much is clear.

”The normal drivers of change, from regulation and incentivisation through to insurance cover and legal liability, are still immature.

“There is no doubt – significant cyber attacks will become more common, not less in in the coming period.”

Hannigan further warned that Britain had been lucky to avoid a serious incident, warning that a destructive attack similar to that of Sony pictures in 2014 is highly likely in Britain but not taken seriously by the private sector.

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