EU data protection fines to hit banks first

Close to 50 per cent of IT professionals in Europe would have difficulties in meeting the reporting criteria for new data protection regulation in the EU.

That is the result of a survey conducted by Varonis. The data protection company also discovered that one-third of organisations failed to have a plan in place that  would allow them to adhere to the new rule.

The EU General Data Protection Regulation is likely to be given the thumbs up within the next 24 months, although it appears more and more unlikely that the verdict will be given in 2015.

The proposals feature harsh fines of a maximum two per cent (no more than 100 million dollars/euros) of annual earnings for failures in protecting the personal data of EU citizens. There will also be a move away from a self-disciplined environment to a regime that will monitor and enforce.

The survey showed that 48 per cent of companies are set up to report data breaches within the 72 hours required. However, 31 per cent claimed that they were unprepared.

The survey also indicated that the banking sector will be fined before any other. Varonis VP David Gibson believes that banks would be in the best position to deal with the aftermath of a breach.

Banks, along with other organisations, would certainly be better prepared to protect their customers if they fill cyber security jobs with individuals capable of both preventing and reacting to any data breaches that may strike.