The true cost of a cyber breach for law firms in 2025

According to industry data, the average cost of a data breach for UK professional services firms now exceeds £125,000 – and that doesn’t include the longer-term losses like client attribution or business interruption.

Direct costs include:

• Legal fees
• Forensic investigations
• Regulatory fines
• Ransomware payments
• Data recovery and system restoration

For small to mid-size law firms, a single breach can be enough to threaten business continuity.

Legal work is built on trust. If clients discover their confidential documents or case data have been compromised, the reputational impact can be irreversible. In a sector where referrals and repeat business are key drivers of growth, losing that trust could cost far more than the initial breach.

According to the Law Society research, 84% of Clients say they would switch firms if theirs suffered a serious cyber incident.

The SRA is becoming increasingly strict when it comes to IT security, especially under SRA Standards and Regulations. A data breach could trigger an investigation by the ICO and SRA, leading to:

• Reports to the SRA or the Legal Ombudsman
• Regulatory action against the COLP or COFA
• Potential insurance premium increases or coverage restrictions
• Failure to meet obligations under the GDPR and Data Protection Act

When systems go down, legal work stops. Staff can’t access case files, client contact details, or billing systems. Even small breaches cause massive productivity hits, and in serious cases, it could take weeks to fully recover.

Imagine being locked out of your case management system in the middle of a litigation process. Now imagine explaining that to your client.
For a deeper dive into how law firms can build long-term cyber resilience, read our guide. 

Recent high-profile UK data and cyber breaches have made headlines, offering sobering reminders of how interconnected the risk landscape is – even for law firms. 

Take the recent cyber attack on Marks and Spencer, which forced them to stop orders via its website, with the ‘hackers’ claiming to have stolen the private data of millions of its customers. It’s estimated that this attack has cost M&S over £300m, not including fines. While not a legal practice, M&S works with a network of law firms for compliance, employment, and real estate matters. A breach of this scale inevitably causes downstream concern for legal suppliers handling their data.

Another example is the London & Zurich ransomware incident, which saw thousands of legal documents leaked online, affecting conveyancing firms that relied on the platform for client onboarding. Law firms that weren’t directly hacked still suffered from reputational risk, operational disruption, and client questions.

These two examples highlight the ripple effect of cyber breaches in today’s digital economy – if a client or vendor is compromised, your firm may be next in line. Cybersecurity is no longer optional; it’s a shared responsibility across the legal ecosystem.

The good news? Cyber Essentials certification can drastically reduce your firm’s exposure to these risks. This Government-backed scheme verifies that your firm has the basic controls in place to defend against 98% of common cyber attacks—like phishing, malware, and ransomware.

For law firms, especially those handling conveyancing, litigation, or M&A work, Cyber Essentials isn't just a best practice—it's becoming an expectation from clients, insurers, and regulators alike.

Access Managed Services helps UK law firms get Cyber Essentials certified quickly and confidently. From initial assessment to remediation and renewal, we manage the entire process—reducing your burden and ensuring your firm meets the gold standard for cyber security.

Want to know how vulnerable your firm really is?