This week, a BBC investigation revealed the devastating collapse of KNP Logistics, a 158-year-old Northamptonshire transport company, after they unfortunately discovered the cost of ransomware. The attack rendered their systems inoperable. The breach, believed to have stemmed from a single compromised password, ultimately forced the business to close its doors, putting 700 people out of work. It is another example of how smaller organisations with fewer defences and limited resources are increasingly being targeted.
According to the BBC’s Panorama report, cybercriminal gang Akira gained access to KNP’s systems by guessing an employee’s password. Once inside, they encrypted critical data and issued a ransom demand, reportedly worth up to £5 million.
KNP’s case is not isolated. It is a stark illustration of the threat ransomware now poses to UK businesses of all sizes, especially SMEs. While headlines often focus on attacks against big brands like M&S, Co-op, and Harrods, it is smaller organisations with fewer defences and limited resources that are increasingly being targeted.
The Business Cyber Breach Cost
KNP had insurance and believed it was meeting industry IT standards, but it wasn’t enough. With systems locked and no means of restoring their data, operations ground to a halt. The firm reportedly could not afford to pay the ransom. As the data could not be recovered any other way, the business failed to be able to operate.
Why SMEs Like KNP Are Prime Targets for Cyber Attacks
The National Cyber Security Centre (NCSC) now deals with a major cyber-attack every single day. KNP are unfortunately one example of many. Industry estimates suggest there were over 19,000 ransomware attacks on UK businesses last year, with the rate still rising. The National Crime Agency warns that we are on track for the worst year on record for cyber attacks.
SMEs are particularly vulnerable because:
- They often lack in-house cyber expertise
- Security budgets are stretched
- Staff may not receive regular training
- Legacy systems or poor password policies are common
Attackers know this. They aren’t necessarily targeting high-value businesses, they are targeting easy ones.
The Real Cost of Inaction with Cyber Security
Beyond the financial ransom, ransomware incidents carry enormous indirect costs:
- Operational downtime
- Legal and regulatory consequences
- Reputational damage
- Loss of customer data and trust
- Permanent business closure, as seen in KNP’s case
Insurance, while helpful, is not a catch-all solution, especially if minimum cyber hygiene standards aren’t met and critically, paying the ransom offers no guarantee of data recovery.
Every Business Needs a ‘Cyber MOT’
KNP’s director, Paul Abbott, now advocates for mandatory cyber resilience standards, a “Cyber MOT”, for UK businesses. It is a sensible proposal, and one that many experts would agree with.
At Amicis Group we believe. At a bare minimum, every SME should:
- Use multi-factor authentication (MFA)
- Enforce strong password policies
- Deploy endpoint detection and response (EDR/XDR)
- Conduct regular employee awareness training
- Back up critical data securely and frequently
- Complete Cyber Essentials certification or equivalent
- Have a tested incident response plan
How Amicis Group Helps SMEs Stay Secure
We understand the constraints SMEs face, limited time, limited budget, and limited internal cyber expertise. That’s why we created CyberGuard: a fully managed, scalable cyber security service tailored specifically for small and medium-sized organisations.
CyberGuard aligns with NCSC best practices and includes:
- Security Awareness Training
- Penetration Testing & Vulnerability Scanning
- Endpoint Protection (EDR/XDR/MDR)
- Cloud & Data Backup Solutions
- Dark Web & DNS Monitoring
- Cyber Essentials & ISO 27001 Support
All delivered under a transparent, monthly cost structure that scales with your business.
The Cost of Ransomware – Final Thoughts
KNP’s story is a heartbreaking reminder that it only takes one vulnerability to bring down an entire business. But it’s also a wake-up call and an opportunity for others to act before it’s too late.
Cyber security is not just an IT issue. It is a business continuity issue.
If you’re not sure where your organisation stands, we invite you to book a free consultation. Contact us today or call 0333 305 5348 and let us help you take the first step towards building cyber resilience that protects your business, your people, and your future.
