Ransomware incidents continue to escalate, reigniting discussions around whether organizations should ever pay attackers. Cybercriminals are increasingly leveraging ransomware to extort significant sums from companies desperate to protect their internal and customer data.
Recent research revealed a 126% jump in ransomware activity in the first quarter of 2025, compared to the previous quarter — a spike that has prompted urgent attention.
In reaction to this rise, the UK government has proposed banning ransomware payments, a move intended to curb organizations from transferring large sums to cybercriminals in hopes of restoring their data or avoiding public scrutiny. Under the current proposal, the ban would initially apply to public sector bodies and Critical National Infrastructure (CNI) organizations, though there is growing interest in extending the policy across all UK businesses.
If this wider ban takes effect, organizations will need to adapt to a reality where paying attackers is no longer an option. Instead, they will have to prioritize robust resilience measures, thorough incident response planning, and faster recovery capabilities.
This raises a central debate: Are ransomware payment bans the right solution? And if implemented, how can organizations protect themselves without relying on a financial “escape route”?
Many organizations have long viewed ransom payments as a convenient way to restore operations — a perceived “get out of jail free” shortcut that avoids lengthy reporting, disclosure, or regulatory scrutiny.
But the reality is stark: when dealing with criminals, there are no guarantees. Paying a ransom reinforces an already thriving network of cybercriminal operations.
In spite of this, organizations continue to pay. Recent studies indicate that 41% of organizations in 2025 admitted to paying ransom demands, although only 67% of those who paid actually regained full access to their data. These figures highlight the willingness of companies to divert large budgets to ransom fees — investments that could otherwise strengthen cyber defenses and prevent attacks altogether.
There are strong arguments on both sides of the UK proposal. A payment ban removes the burden of negotiating with threat actors who have no obligation to keep their word. It also eliminates the possibility of paying for data that attackers may never return after receiving the funds.
Another issue is the ongoing stigma around publicly acknowledging a ransomware attack. To protect their reputation, many organizations choose to quietly meet attackers’ demands — enabling criminals to operate undetected and without law enforcement involvement.
A ban would change this dynamic entirely. Without the option to pay, organizations would be forced to report incidents, helping authorities investigate and track cybercriminal activity more effectively.
The broader hope behind the proposal is that, without profit incentives, ransomware attacks will eventually fade out. While optimistic, the UK government views this approach as one of the few viable long-term strategies to reduce ransomware incidents.
However, the near-term outlook is more complex. Attacks are unlikely to stop immediately, and eliminating the option to pay could leave organizations without a practical mechanism for retrieving highly sensitive data — including customer information — in the aftermath of an attack.
If ransomware payments become illegal, organizations must proactively invest in stronger cyber resilience. Small and medium businesses, which often lack internal cybersecurity expertise, can significantly benefit from partnering with a Managed Service Provider (MSP). MSPs manage IT systems and cybersecurity operations, allowing business leaders to focus on growth and innovation. Research shows that over 80% of SMEs now rely on MSPs for cybersecurity support.
Regular security awareness training is also essential. Educating employees on identifying phishing attempts and suspicious activity helps reduce human errors that often lead to ransomware breaches.
Furthermore, a tested and well-structured incident response plan is critical. Many organizations overlook this step, but it plays a major role in containing damage during an attack.
With the UK edging closer to implementing a nationwide ransomware payment ban, organizations cannot afford to wait. Strengthening cyber resilience is the most effective path forward. This includes deploying advanced security tools, working with MSPs, and building a thorough — and regularly tested — incident response strategy.
Businesses that act early will be far better equipped to withstand attacks in a world where paying ransom is no longer an option.