The Co-op has revealed that a “sophisticated cyberattack” earlier this year has wiped out £80m of profits, underlining the mounting cost of cybercrime for Britain’s biggest companies.
In results published this morning, the mutual said the hack disrupted its grocery and funeral operations, leaving gaps on shelves and delaying services, with an estimated £206m hit to revenues.
The group said it acted “quickly and decisively” by temporarily shutting down a number of systems to contain the breach. Essential services, including funerals, were prioritised, while stock was diverted to rural “lifeline” stores and independent society partners to minimise disruption.
The direct financial blow included £20m in one-off costs to tackle the incident, alongside wider business losses. The Co-op also sought to ease customer frustration by giving members a £10 discount on a £40 shop.
The figures highlight how cyberattacks are becoming a serious balance-sheet issue for large corporates. The Co-op is the latest big name to join a growing list of firms caught in the crosshairs this year.
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Co-op hack wipes out £80m of profits as cybercrime surge hits UK businesses