The shift to hybrid work has changed how many UK small and medium enterprises operate, offering flexibility and productivity gains, but it has also created new cyber risk exposures. For SMEs, which often lack the resources of larger firms, this change raises practical questions. Are systems, people, and processes keeping pace with a working model that spreads devices and access points across homes, cafes, and transport hubs?
Why hybrid work changes the risk picture
Hybrid work increases the number of locations and devices that touch corporate networks. Employees connect from home Wi Fi, public networks, and individual mobile devices, often outside the protection of corporate firewalls and policies. That wider attack surface makes routine threats like phishing and credential theft easier to exploit, and it amplifies the potential impact of ransomware and business email compromise.
This is not hypothetical. In recent UK surveys, around half of businesses reported experiencing a cyber security breach or attack in the previous 12 months, showing how common incidents are becoming.
SMEs are attractive targets, and the costs add up
SMEs are frequently targeted, because they may be seen as softer targets with fewer security layers. Recent research shows a substantial share of SMEs facing attacks, and the average cost to affected businesses is significant. One 2025 industry summary found nearly 42 percent of UK SMEs reported a cyber attack in the past year, with average incident costs running into thousands of pounds.
Even when direct financial loss is modest, the indirect costs can include downtime, reputational damage, lost customer trust, and the time staff must spend responding to incidents. For many SMEs, those secondary impacts represent the more painful and longer lasting consequences.
Hybrid work is now mainstream, so assumptions must change
Hybrid working is established across the UK. Office-based and professional workers increasingly split time between home and workplace, with about 28 percent of workers classified as hybrid in recent ONS analysis. That means a large portion of the workforce will remain outside the corporate perimeter for part of their week, making security measures that assume full-time office presence impractical.
Practical steps SMEs can take, without heavy cost
Many effective controls do not require large budgets. Key actions include:
- Prioritise multi factor authentication, for everything that matters. Require MFA for email, remote desktop, VPN, and privileged accounts. It is one of the most cost-effective barriers against credential theft.
- Centralise patching and device management. Use endpoint management tools to ensure operating systems and applications are updated, and to enforce baseline security settings on laptops and mobile devices.
- Train staff with concise, role specific guidance. Phishing remains the top entry method. Short, frequent micro training sessions and simulated phishing tests improve habits more than one long lecture.
- Protect backups and isolate them. Regular, immutable backups, stored offline or in a segregated cloud account, reduce the chance that ransomware will cause permanent data loss.
- Adopt least privilege and monitor critical accounts. Limit admin rights, use separate accounts for privileged tasks, and log access to sensitive systems for faster detection.
- Write a short, tested incident plan. A simple checklist for who to call, which systems to isolate, and how to communicate with customers reduces confusion and downtime when something goes wrong.
These steps can be phased in, starting with high-impact, low-cost measures like MFA and basic staff training.
Where advisory services add value
External advisors can help SMEs prioritise actions based on real risk, and they can run short risk assessments that fit SME budgets. Advisory teams can also help with tabletop incident exercises, supplier security checks, and designing a resilience plan tailored to hybrid work. The aim is to make security an enabler, not a barrier, to flexible work.
Conclusion
Hybrid work is now a durable feature of the UK employment landscape. That change brings increased cyber exposure for SMEs, but it also creates a clear, manageable path to stronger protection. By adopting a few pragmatic controls, improving staff awareness, and using targeted advisory support where needed, SMEs can preserve the benefits of hybrid work while materially reducing their cyber risk. The choice is not between flexibility and security, it is about designing them to work together.
