Ransomware incidents are climbing at an alarming rate, reigniting discussions around whether organizations should be allowed to pay attackers at all.
Cybercriminals are increasingly turning to ransomware to extort large sums of money from organizations desperate to protect sensitive employee and customer data. Recent findings revealed a 126% increase in ransomware incidents in Q1 2025 compared to the previous quarter, a surge that has captured global attention.
In response, the UK government has unveiled a proposal to prohibit ransomware payments, aiming to stop public bodies and Critical National Infrastructure (CNI) providers from transferring large amounts of money to cybercriminals in hopes of regaining stolen data or avoiding public embarrassment. Many experts believe this ban could eventually expand to cover every organization operating in the UK.
If the restriction becomes universal, businesses will be forced to operate in an environment where paying attackers is no longer an option. This shift would require a stronger emphasis on resilience, incident response, and rapid recovery strategies.
The debate now centers on a key question: Is banning ransomware payments a wise move? And if the ban comes into effect, how can organizations safeguard their data without relying on a ransom fund?
Many companies have long viewed ransom payments as a quick, albeit risky, solution — almost a “get out of jail free” card. They see it as a seemingly reliable way to recover stolen data without formal disclosure or regulatory reporting.
However, negotiations with criminals come with no certainty. Paying a ransom only strengthens the broader cybercrime ecosystem and incentivizes further attacks.
Yet the practice persists. Research from 2025 reveals that 41% of organizations have paid a ransom, but only 67% of those regained full access to their data. These figures highlight that companies are still funneling large budgets into ransom payments — money that could instead be invested in preventing attacks through stronger cyber infrastructure.
The UK’s proposed ban brings both advantages and disadvantages. On the positive side, organizations would no longer be pushed into negotiating with unreliable cybercriminals. Since attackers may not return the data even after receiving payment, the ban eliminates that particular risk entirely.
Additionally, many organizations prefer to quietly pay ransoms to avoid reputational damage associated with admitting an attack. This secrecy not only benefits attackers but also leaves authorities unaware of crimes being committed. A payment ban, however, would force almost all affected organizations to formally report incidents — encouraging more accurate investigations and accountability.
Supporters of the ban argue that if attackers know ransom payments are impossible, the financial incentive behind ransomware will eventually disappear. While optimistic, the UK government sees the ban as a strong step toward reducing or even eliminating ransomware threats.
But opponents highlight an undeniable concern: ransomware attacks will continue, at least in the near term. If payment is no longer an option, organizations may struggle to recover highly sensitive information — often involving customer data — and may be left without any practical alternatives, even if negotiating feels morally uncomfortable.
If the UK enforces a nationwide prohibition on ransom payments, businesses must prioritize strengthening their cyber resilience. Increasing investment in preventive strategies will be crucial.
For SMEs — many of which lack dedicated cybersecurity teams — partnering with a Managed Service Provider (MSP) is one of the simplest ways to boost security. MSPs oversee IT operations and cybersecurity defenses, allowing business leaders to focus on innovation and growth. Recent studies show that over 80% of SMEs now rely on MSPs for cybersecurity support.
Regular employee security awareness training is also essential, helping staff identify early warning signs of cyberattacks and avoid mistakes that commonly lead to ransomware infections.
Organizations should also create and routinely test a detailed incident response plan. Although often overlooked, a well-rehearsed plan is critical for minimizing the damage when an attack occurs.
With the UK considering a nationwide ban on ransom payments, companies cannot afford to wait. The most effective approach is to build strong cyber resilience now.
This includes leveraging MSP services, upgrading security tools, and establishing a clear incident response strategy. Proactive planning will lower the chances of falling victim to ransomware and ensure smoother recovery if an attack does occur.
