How the NCSC 2025 Report Should Influce Your SME's 2026 IT Strategy

The NCSC 2025 Report exposes gaps in SME IT strategies that many are still ignoring. Your current setup risks costly downtime and compliance slips if you don’t act. This isn’t about fear—it’s about clear steps you can take now to raise your Secure Score, tighten CE+ alignment, and cut IT chaos with smart security automation. Read on to see what your SME must change before the next breach hits.

Key Insights from the NCSC 2025 Report

The NCSC 2025 Report is a wake-up call for many SMEs. It highlights crucial areas where improvements are needed. Let’s explore the key findings and what they mean for your business.

Gaps in Current SME IT Strategies

Many SMEs are unknowingly leaving their systems vulnerable. The report points out that 62% of SMEs lack a comprehensive IT strategy. This means you're exposed to potential risks that could disrupt your operations. Focusing on your IT infrastructure now can save you from headaches later. Most SMEs think they are covered, but missing these gaps can be costly. It’s not just about having IT; it’s about having the right IT.

Risks of Ignoring Compliance

Compliance isn’t just a box to tick; it’s a shield against potential fines and breaches. The report shows that 45% of businesses faced penalties due to non-compliance last year. Ignoring compliance can also erode trust with your customers. Most people assume they’re compliant, but assumptions can lead to hefty fines and reputational damage. Ensuring your business meets standards like Cyber Essentials Plus (CE+) is crucial.

Importance of Security Automation

Automation is your ally in the fight against cyber threats. The report highlights that automated systems can reduce security breaches by 30%. By automating routine security tasks, such as the detection and remediation of vulnerabilities on your endpoints, you free up valuable time and resources. By embracing automation (and an adequate EDR solution, such as SentinelOne Control) you create and ensure a stronger ongoing security posture. While many resist automation, thinking it’s complex, it’s actually a simple way to boost efficiency and security.

Shaping Your SME IT Strategy

Armed with insights from the NCSC report, it's time to reshape your IT strategy. A proactive approach will safeguard your business and streamline your operations.

Steps to Enhance Security Posture

First, assess your current security measures. Are they robust enough? Implementing multi-factor authentication (MFA) can increase security by 99%. Regularly update your systems and conduct security audits. These steps are straightforward but often overlooked. Most SMEs think they’re secure, but without regular updates and audits, vulnerabilities creep in unnoticed.

Implement Phishing-Resistant Sign-In with Passkeys (FIDO2/WebAuthn)

Passwords and one-time codes are exactly what phishers (and vishers) try to extract. Passkeys flip the model by using public-key cryptography bound to the legitimate site or app (including Microsoft Entra ID), so there’s no reusable secret to steal and nothing meaningful to read out over the phone.

Passkeys typically satisfy two factors in one step: you prove possession of the device holding the private key and unlock it locally with a biometric or device PIN (when user-verification is required), which NIST classifies as a multi-factor cryptographic authenticator.

They’re not just “phone credentials”: you can use platform passkeys on phones or laptops, device-bound passkeys in Microsoft Authenticator, or hardware security keys—each keeping the private key in a secure element (e.g., Secure Enclave or TPM) and never sending it to the service.

The NCSC is explicit about the direction of travel: it wants passkeys to become the default authentication recommendation because they’re easier, faster and materially more secure than passwords and legacy MFA—and it highlighted passkeys across multiple blogs and as a CYBERUK 2025 theme.

Aligning with Cyber Essentials Plus

CE+ is not just a badge; it’s a framework for robust security. Aligning with CE+ means your systems are fortified against common threats. It’s about being audit-ready and demonstrating to clients that you take security seriously. Many think achieving CE+ is complex, but it’s actually a structured path to securing your business. Explore more about Cyber Essentials Plus.

Did You Know? 

Many insurance companies incentivise CyberEssentials+ compliance through reduced premiums for things like Public Liability or Employers Liability, so investing in CyberEssentials+ compliance could boost your business with long-term savings in operational costs, too! 

Reducing IT Chaos with Automation

Automation can transform your IT operations. By automating routine tasks, you reduce errors and save time. Use tools that automate software updates and user management processes. This not only cuts down IT chaos but also enhances productivity. Many SMEs think automation is costly, but it’s an investment that pays off quickly. Learn about automation benefits.

Actionable Steps for Decision-Makers

Now that you understand the importance of a solid IT strategy, let's dive into actionable steps. These will set your business on a secure path.

Raising Your Secure Score

Your Secure Score is a reflection of your IT health. Aim to raise it by addressing vulnerabilities. Start with simple actions like enforcing password policies and using endpoint detection and response (EDR) solutions. These actions can boost your score by up to 20%. Many assume their score is adequate, but there’s always room for improvement.

Implementing Managed IT Services

Consider managed IT services to handle your tech needs. This ensures you have expert oversight without the overheads of an in-house team. Managed services provide 24/7 monitoring and support, which means you’re always protected. While some think it’s an unnecessary expense, managed IT services can actually save you money by preventing costly downtimes. Find out more about managed IT services.

Download the CE+ Field Guide

Equip yourself with the tools to navigate CE+ compliance. The CE+ Field Guide offers practical steps to help you align with standards and improve your security posture. Download it today to start making informed decisions. This guide isn’t just another document; it’s a roadmap for securing your business. Access the UK Cyber Growth Action Plan.