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Business Leaders Brace for Escalating Cyber Threats in 2026 

Business leaders are preparing for a challenging year ahead, as AI-driven attacks, ransomware, and supply chain compromises push cyber risk to the top of the corporate agenda. 

New research published by Talan on 23rd October reveals that nearly seven in ten executives (69%) expect the cyber threat landscape to become more complex over the next 12 months. Many fear that 2026 could stretch their organisations’ resilience to the limit. 

The survey, which gathered insights from 200 CISOs across the UK and Europe, found that while 62% are confident in their ability to tackle cyber and privacy threats, most acknowledge the seriousness and immediacy of the risks—especially amid ongoing financial and geopolitical instability.

Top Concerns for the C-Suite: 

  • AI-accelerated attacks and system abuse (69%)
  • Ransomware targeting critical infrastructure (62%)
  • Software supply chain compromises (55%)
  • Cloud and SaaS identity attacks (55%) 

While board-level understanding of cyber and privacy risks is rated highly, concerns remain about broader workforce awareness. Rising exposure to social engineering and potential misuse of AI systems are seen as urgent challenges for the year ahead. 

Mandeep Thandi, Director of Cyber and Privacy at Talan, commented: 

 

“Cyber threats are now a top business risk—not just a tech issue, but a leadership challenge. Executives now rank cyber alongside financial and geopolitical uncertainty as one of the biggest threats facing organisations today. 
 

With AI-driven attacks growing more sophisticated, the next year will test organisational resilience. Those that combine strong governance, engaged employees, and responsible AI adoption will be best positioned to thrive.” 

Key Themes from the Report: 

1. Rising Complexity, Growing Confidence 

  • 69% expect increased threat complexity; 24% anticipate it will become significantly more challenging.
  • 63% rate board-level understanding of cyber and privacy risks as excellent.
  • 62% are confident in their organisation’s resources to respond effectively. 

2. AI: Innovation and Risk 

  • 98% of organisations are investing in AI; 66% are integrating it into products and services.
  • 69% are concerned about AI-accelerated social engineering and system abuse.
  • 62% fear ransomware and extortion targeting critical services. 

3. Executive Engagement vs. Workforce Awareness 

  • 76% say cyber and privacy are key factors in supplier selection.
  • Only 44% rate overall staff understanding of cyber risks as excellent—highlighting the need for ongoing training and culture-building. 

4. Talent and Regulation 

  • 77% report ease in recruiting and retaining cyber talent.
  • 90% view new regulations (e.g., UK Data Act, EU AI Act) as positive steps toward online safety. 

Solutions and Next Steps Talan recommends: 

  • Strengthening board-level accountability
  • Investing in AI governance
  • Enhancing communication between security teams and leadership 

With 64% of businesses already developing quantum-readiness plans, proactive investment is key to preparing for emerging technologies that could reshape security strategies in the coming decade. 

“While many organisations feel well-prepared, they’re only as strong as their weakest link,” added Mandeep Thandi. 

 

“Recent supply chain breaches affecting brands like Marks & Spencer and Jaguar Land Rover show that even mature organisations remain vulnerable. These incidents are increasingly common across sectors. 

 

To stay secure, businesses must embed security awareness into daily operations, strengthen supplier oversight, and ensure rapid response protocols are tested and understood at every level.”

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