Brits hit by cyber theft could be forced to foot bill as banks shirk responsibility

rt.com

Brits who use online banking services vulnerable to criminal hackers could be made liable for financial losses stemming from theft, as intelligence officials, central bankers and Downing Street seek to shirk responsibility.

The potential policy shift could see firms or individuals with poor online security left without compensation if their bank accounts are hacked. Customers vulnerable to hacking could also be locked out of vital online banking services under the proposals, the Financial Times reported on Wednesday.

Cyber security challenges in financial sector

In a climate of ever-evolving cyber threats, UK authorities have become increasingly concerned about the damage cybercriminals could wreak over Britain’s national and economic security. Banks are also worried about fraud losses mounting on their books.

High street banks and other financial institutions generally compensate customers who are victims of cyber fraud, irrespective of who bears responsibility for exploited security risks. As a result, shifting the burden onto customers’ shoulders while financial actors and regulators escape responsibility could prove controversial.