M&S Chairman Details £300m Cyberattack Impact, Hacker Group Scattered Spider Involved

Marks & Spencer suffered a severe cyber attack in April, linked to the hacking group Scattered Spider and ransomware operator DragonForce, which forced the retailer to halt online orders for over six weeks and disrupted warehouse operations. The attack, described by M&S chairman Archie Norman as "traumatic" and akin to an "out of body experience," could have destroyed the business if it had occurred during earlier, more vulnerable years, but the company is still recovering and expects the disruption to continue behind the scenes until late in the year. The breach is estimated to have cost M&S approximately £300 million in lost profits, though the company hopes to recoup some losses through cost management and insurance. Norman highlighted the unusual nature of the attack, suggesting the hackers aimed to destroy the business for ransom or extortion, with the involvement of intermediaries and hackers believed to be former computer gamers based in Asia. While Norman refused to disclose whether M&S paid a ransom, he emphasized the need for better cybersecurity and suggested large firms should be required to report significant cyber attacks, noting suspicions that other major UK companies might have experienced unreported breaches. The National Crime Agency and other law enforcement agencies, including the FBI, are investigating the incident as M&S works to strengthen its cybersecurity and restore full customer services.