Cyber attack results in reported financial loss for cooperative organization
Marks & Spencer, Co-operative Group Suffer Cyber Attacks Amidst Challenging Retail Landscape
In a series of cyber attacks affecting UK retailers, Marks & Spencer and the Co-operative Group have been hit, causing disruptions and financial losses.
The Co-operative Group, which experienced a cyber attack in April 2025, has reported a 1.5% revenue growth on a pro-forma 52-week basis to £11.3 billion last year. However, the full financial impact of the attack on the company remains unclear. The first financial update since the incident is expected to include an estimation of financial damages, but the exact impact is yet to be specified.
The group also anticipates an additional £50 million from the increase in national insurance contributions. On the other hand, the company expects additional costs of £80 million from shoplifting across its retail estate.
In a statement, the Co-op's CEO, Shirine Khoury-Haq, expressed her disappointment, saying, "I am devastated by the impact on our workers and members." Names, addresses, and contact information of all members were accessed during the attack.
Marks & Spencer, on the other hand, expects a financial loss of £300 million due to a cyber attack. The attack affected shoppers, causing empty shelves and issues with payments. The company's CEO was equally disheartened, stating, "We are deeply sorry for the inconvenience caused to our customers."
The data primarily focuses on the group's grocery business and compares it directly with larger supermarket stores from rivals including Tesco. Unfortunately, the Co-op has lost market share in the UK grocery sector over the past year. Recent data from Worldpanel suggests weaker sales for the Co-op in recent months, with sales slipping by around 2% over the 12 weeks to September 7, compared with the same period a year earlier.
This cyber attack occurred during a challenging period of higher costs and decreased consumer confidence due to the rising cost of living. The Co-op's cyber incident was one of several against UK retailers, also affecting Marks & Spencer and Harrods. Hackers accessed and extracted personal data of 6.5 million members from the Co-op, but were unable to install planned ransomware.
Last year, the company reported improved profits but anticipated over £200 million in costs and spending pressures in 2025. The retail group expects additional costs from the cyber attack and the challenging retail environment, making for a tough year ahead.
Read also:
- chaos unveiled on Clowning Street: week 63's antics from 'Two-Tier Keir' and his chaotic Labour Circus
- Skechers Debuts First American Stores Focused on Athletic Footwear Performance
- Budget discrepancy jeopardizes highway projects' financial support
- Racing ahead in Renewable Energy Dominance: Changzhou, Jiangsu Pushes for Worldwide Renewable Energy Ascendancy
