In November 2025, the UK Government released a comprehensive report on the economic cost of cyber crime, which highlights how the average cyber incident costs a UK business £195,000. Scaling this to an annual UK cost, generates an estimate of £14.7 billion, equivalent to 0.5% of the UK’s GDP [Source]. The growing threat landscape and significant cost of cyber crime makes cyber security a pressing issue for all UK businesess.
2026 is set to be a landmark year for cyber security. AI, deepfake technology, quantum risk and supply chain vulnerabilities are converging to reshape the cyber landscape. Cyber criminals are now faster, more scalable and increasingly autonomous, relying less on human expertise and more on intelligent, self-learning tools.
In response, cyber defence must evolve too. It is no longer enough to react. Security needs to be predictive, adaptive and capable of operating at machine speed.
CyberLab’s Board have put together their predictions for 2026, and their insights reveal powerful themes that businesses must prepare for.
Top 5 Cyber Security Predictions for 2026
Expert Insights from the CyberLab Board
Jump to Prediction
1. AI Changing the Threat Landscape: Defence and Attack at Machine Speed
AI is not just changing cyber security. It is redefining it. In 2026, AI will accelerate cyber defence, enabling faster detection, automated response and real-time threat modelling. However, it is also lowering the barrier to entry for cyber criminals, powering attack strategies that are faster, continuous and increasingly self-managing.
David Pollock, Chairman, highlights this duality:
“AI will speed up hackers’ ability to attack businesses and government. AI will also speed up our ability to defend and protect our customers.”
We will see a shift from human-led attacks to AI-led adversaries capable of executing cyber attacks without direct human involvement. These systems will operate at machine speed, identifying vulnerabilities, exploiting zero-day flaws and coordinating simultaneous attacks across multiple networks.
AI-driven attacks will be able to adapt mid-attack, changing strategies in response to defensive actions. They will learn from failed attempts, replicate successful exploits and scale attacks globally in seconds.
Ryan Bradbury, CTO, explains:
“The speed, scale and automation possible with agent-driven attacks will surpass anything we’ve seen before. We have to stop preparing only for human-led threats and start planning for autonomous AI-led adversaries.”
This means cyber defence will need to become dynamic, adaptive and automated. Continuous validation, predictive analytics and machine-speed response will become non-negotiable. AI-led defence will become the standard, not the exception.
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2. Deepfakes, Identity Fraud and the Human Factor
While AI transforms the technical threats, humans will remain the most vulnerable target. In 2026, social engineering will become significantly more sophisticated as deepfake technology enables hyper-realistic voice, video and identity spoofing.
Wayne Price, Commercial Director, warns:
“Deepfakes and synthetic media will cause a surge in identity fraud, forcing organisations to ramp up digital identity verification practices.”
Attacks will no longer rely on poorly written phishing emails. Instead, employees may receive video messages from a supposed CEO requesting payment transfers, or voice calls mimicking trusted suppliers.
Gavin Wood, CEO, believes identity protection and human awareness will be critical:
“Human attack vectors will continue to be exploited, especially with AI-driven deepfakes, voice spoofing, phishing, and super realistic, authentic-looking videos, et cetera.
Securing the human will be absolutely key for cyber security in 2026.”
Identity and access management will become one of the most important areas of cyber security, with organisations investing heavily in digital identity verification, behavioural biometrics and continuous trust authentication.
3. The Future of Ransomware and Smarter Phishing
Ransomware will remain one of the biggest threats in 2026, but AI will make it more intelligent, harder to detect and significantly more scalable. Attackers will use AI to craft personalised phishing emails that are context-aware and perfectly mimic internal communications or supplier messages.
Adam Myers, Sales Director, has seen a clear rise in this trend:
“We’re seeing emails that look more real and on brand. It’s harder to spot. AI is helping hit that on scale.”
These emails are technically perfect, grammatically accurate and contextually relevant, making them almost indistinguishable from legitimate communications. AI will also be used to test email variations, conducting A/B testing on targets to improve success rates.
Elena Doncheva, Marketing Director, advises:
“Train your people, as they will likely be the first line of defence. Monitor your digital footprint and the dark web for data that attackers can utilise. Test your business continuity plans, disaster recovery and incident response plans. You can never be too prepared.”
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4. Quantum Risk, IoT Growth and Zero Trust Security
Technology will continue to evolve, bringing both opportunity and risk. Quantum computing, while still emerging, poses a direct challenge to current encryption standards. Organisations will need to begin preparing now by exploring quantum-resistant security measures.
Wayne Price summarises the shifting landscape:
“Expect AI, deepfakes, ransomware, quantum computing, and a surge in IoT and cloud-connected devices to reshape cyber security in 2026.”
The growth of connected devices, cloud services and remote infrastructure will dramatically widen the attack surface. This will push organisations towards adopting zero trust frameworks, continuous monitoring and automated threat detection.
While AI transforms the technical threats, humans will remain the most vulnerable target. In 2026, social engineering will become significantly more sophisticated as deepfake technology enables hyper-realistic voice, video and identity spoofing.
Wayne Price, Commercial Director, warns:
“Deepfakes and synthetic media will cause a surge in identity fraud, forcing organisations to ramp up digital identity verification practices.”
Attacks will no longer rely on poorly written phishing emails. Instead, employees may receive video messages from a supposed CEO requesting payment transfers, or voice calls mimicking trusted suppliers.
Gavin Wood, CEO, believes identity protection and human awareness will be critical:
“Human attack vectors will continue to be exploited, especially with AI-driven deepfakes, voice spoofing, phishing, and super realistic, authentic-looking videos, et cetera.
Securing the human will be absolutely key for cyber security in 2026.”
Identity and access management will become one of the most important areas of cyber security, with organisations investing heavily in digital identity verification, behavioural biometrics and continuous trust authentication.
5. Supply Chain Security Becomes a Business Requirement
Supply chain security emerged as a central issue in some of the most significant cyber incidents throughout 2025. As organisations grappled with the repercussions, it became clear that robust supply chain protections are not just desirable but essential.
Elena Doncheva, highlights:
“These trends are already visible in the recent news. It is crucial every organisation is prepared to protect and respond to attacks”
Recent incidents with M&S, Harrods, Co-Op and Jaguar Land Rover put into perspective how critical supply chain is for all organisations.
Cyber security is no longer just a technical matter. It is becoming a competitive differentiator. Organisations will start to lose contracts if they cannot prove they meet minimum cyber security standards.
Tom Davies, CFO, predicts big changes:
“Procurement teams will start to look at cyber cover in the same way that they do insurance. Those without sufficient cyber cover will start to lose customers.”
Insurers and regulators are also tightening requirements, demanding proof of cyber resilience, business continuity strategies and responsible data handling practices.
In 2026, cyber maturity will be a strategic advantage.
Final Thoughts: Secure Your Organisation and Use Cyber Security as Competitive Advantage
2026 will be defined by machine-speed threats, identity risk and a widening digital attack surface. AI will be used both to launch attacks and to defend against them. Organisations that embrace AI-driven cyber defence, human-first security awareness and supply chain resilience will be best positioned for the next era of cyber risk.
Cyber security in 2026 is no longer just about protection. It is about trust, readiness and competitive strength.
Stay Secure. Security will be your edge.
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