Britain’s financial regulator, the Financial Conduct Authority (FCA), has issued an £11 million ($13.4 million) fine to Equifax following the consumer credit rating agency’s role in one of the largest security breaches to date.

British finance regulator hits Equifax with a $13.4m fine following data breach

The penalty stems from a major data exposure suffered by the company’s parent firm, Equifax Inc., in the US. During the event, hackers gained access to the personal information of around 147.9 million US consumers.

The FCA revealed that hackers also compromised the details of 13.8 million UK data subjects whose information had been held on computer servers in the States. The stolen data included names, dates of birth, credit card information, addresses and other sensitive details.

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The FCA emphasised that the cyberattack was wholly avoidable, highlighting how Equifax had outsourced critical data and failed to secure their systems adequately, unnecessarily increasing risk and vulnerability. 

Alarmingly, the UK arm of Equifax remained unaware of the breach for six weeks after its parent company’s discovery, indicating serious lapses in cybersecurity protocols.

In response, Equifax said they have invested over $1.5 billion in security enhancements since the cyberattack occurred six years ago. Despite their efforts, the FCA’s scrutiny resulted in a substantial fine which was subsequently reduced in light of cooperation with resolving the incident.

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GDPR Reform, Online Safety, Light-Touch AI Regulation: Making Sense of the UK Legal Environment

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The UK government’s direction on tech and data policy has left data protection professionals in a deeply uncertain and often confusing regulatory environment. 

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