Co-op Shuts Down Parts of IT System Following Cyber Attack Attempt
In a concerning development for the retail sector, the Co-op has taken decisive action to shut down parts of its IT system after detecting attempts to gain unauthorized access. This incident comes just days after Marks & Spencer (M&S) faced its own cyber incident, highlighting a troubling trend in the retail industry.
Swift Response to Cyber Threats
A spokesperson for the Co-op confirmed that the company observed attempts to breach its systems and acted promptly to contain the situation. "As a result, we have taken proactive steps to keep our systems safe, which has resulted in a small impact to some of our back office and call centre services," the spokesperson stated. Despite these disruptions, the Co-op reassured customers that all its stores, including quick commerce operations and funeral home services, continue to operate as usual.
The company expressed gratitude towards its colleagues, members, partners, and suppliers for their understanding during this challenging time. "We are not asking our members or customers to do anything differently at this point. We will continue to provide updates as necessary," the spokesperson added.
Collaboration with National Cyber Security Centre
In response to the incident, the National Cyber Security Centre (NCSC) is believed to be collaborating with the Co-op to investigate the attempted breach. This partnership underscores the seriousness of the situation, especially in light of the recent attack on M&S, which has drawn significant attention from cybersecurity experts.
Nathaniel Jones, VP of Security & AI Strategy at Darktrace, noted that the Co-op’s quick actions appear to have minimized the disruption compared to the M&S incident. "It looks as if the Co-op is being cautious, possibly because it may use the same supplier as M&S," he explained. This highlights a growing concern in cybersecurity: hackers are increasingly exploiting supplier relationships and vulnerabilities within the supply chain.
The Nature of the Attack Remains Unclear
Details surrounding the Co-op cyber attack remain scarce. As of now, there is no information regarding whether this incident was a ransomware operation or who may be behind it. Nick Dyer, a cybersecurity expert at Arctic Wolf, emphasized that it is still too early to speculate on the culprits. "While the ‘Scattered Spider’ hacking group has been linked to the attack on M&S, we can’t yet point the finger at who is responsible," he said.
Dyer noted that most cyber attacks are executed by professional gangs seeking financial gain. However, he commended the Co-op for initiating its incident response and business continuity plans effectively. By proactively restricting and isolating certain business services, the Co-op has managed to safeguard its in-store teams and legal division during this critical period.
Rising Threats in the Retail Sector
The retail sector has seen a sharp increase in cyber threats, particularly in the form of ransomware attacks. According to new figures from PDI Security and Network Solutions, attacks targeting retailers have surged by nearly 75% compared to the previous year. Retailers are particularly vulnerable due to the vast amounts of customer data they handle and their reliance on a complex network of third-party vendors.
The rise of ‘double extortion’ attacks—where hackers not only encrypt data but also threaten to release it publicly—has made the retail sector a prime target for cybercriminals. This trend emphasizes the need for robust cybersecurity measures and proactive incident response strategies.
Conclusion
As the Co-op navigates this challenging situation, the incident serves as a stark reminder of the vulnerabilities faced by retailers in today’s digital landscape. The swift actions taken by the Co-op demonstrate the importance of preparedness in the face of cyber threats. As investigations continue and more information becomes available, the retail industry must remain vigilant and proactive in safeguarding against future attacks.