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MSPs are the new target: Why internal security must be a priority

Written by Angus Shaw | Oct 21, 2025 8:47:58 AM

MSPs are trusted partners for businesses of all shapes and sizes, holding the responsibility of managing client IT infrastructures and keeping everything safe and secure. But as you know, threats are continually changing and increasingly we’re seeing MSPs become the prime targets for cybercriminals looking to gain access to client networks.

If an MSP suffers an attack, it can lead to large-scale data breaches that cause a cascade of problems for affected organisations. And, as the UK Cyber Resilience Bill sets out new legal obligations for MSPs, now more than ever, fortified internal security and cyber awareness is a top priority. MSPs are no longer just service providers, they are key gateways to clients.

In this article, we’ll look at why MSPs need to bolster their internal security – and what can happen if they don’t.

MSPs: the new prime targets for cybercriminals

Whilst MSPs have been busy strengthening their clients’ cybersecurity defences, they may have been overlooking their own. Reports show that attacks on MSPs are on the rise with phishing, ransomware, and supply chain attacks among the most common threats.

MSPs are often managing critical systems for multiple clients, which means a single breach can compromise many networks. For cybercriminals, targeting MSPs is a route that has the potential to expose more information and many parties to cyber threats.

The UK Cyber Resilience Bill recognises this risk, holding MSPs accountable for protecting both their own systems as well as client data through frameworks like CAF (Cyber Assessment Framework) which is one of the most significant changes to MSP requirements in the last 10 years.

The UK Cyber Resilience Bill and CAF

The UK Cyber Resilience Bill introduced new obligations for MSPs which we covered in more detail earlier this year - which you can read here.

Key points taken from the bill are:

Mandatory reporting
MSPs must report cyber incidents promptly to authorities.

Enhanced due diligence
MSPs are expected to regularly audit and secure both their systems and client environments.

Accountability
MSPs may face penalties if they don’t have the necessary cybersecurity measures in place.

As a result, CAF is redefining what compliance looks like for service providers and MSPs will need prove they have governance and risk management in place, client data protected, steps in place to detect and contain threats and reliable, robust recovery plans.

So, as we can see, now more than ever, internal security is a critical business priority and it's not just about fulfilling a legal requirement; it’s also about building client trust. Clients increasingly want their MSP to proactively protect sensitive data and maintain strong cyber hygiene.

Strengthening internal security: best practices for MSPs

MSPs need to be taking a proactive approach to their security and practicing what they preach - implementing the same strategies and tools they recommend to their clients such as:

1. Security awareness training

Every staff member should understand basic cybersecurity practices. Businesses that do training reduce the risk of human error and continuous learning makes sure your team stays ahead of evolving cyber risks.

2. Multi-Factor Authentication (MFA)

All accounts should have MFA enabled. Single sign-on and passwordless authentication helps reduce the likelihood of account compromise, protecting sensitive client data even if credentials are stolen.

3. Privileged Access Management

Audit all privileged accounts regularly and allow employees to only have access to what they need. Limit shared accounts and require individual credentials for critical systems.

4. Device and access policies

Establish policies for using corporate devices, restricting remote access to approved IP addresses and networks. Create conditional access based on geo-location or data type to add an extra layer of protection, and appropriately segment clients so they remain isolated from internal MSP systems.

5. End-user verification and operational practices

Implement identity verification for any access requests or credential resets and use secure processes to confirm users are authorised. And lastly, adopt operational practices that lift overall security posture, including regular system audits and incident simulations.

A competitive advantage for MSPs

We know that strong internal security helps meet compliance requirements, but it does so much more than that. It positions MSPs as trusted cybersecurity partners, and as a result, organisations are more likely to work with MSPs who demonstrate robust security.

It gives MSPs the opportunity to market themselves as cyber-resilient service providers, building client confidence and strengthening those valuable long-term relationships.

It’s time for MSPs to fortify their cybersecurity

There’s no escaping the reality: MSPs are high-value targets for cybercriminals, and the UK Cyber Resilience Bill has increased security responsibilities. It’s time for MSPs to prioritise internal security, data compliance processes and client trust.

Whether it’s cyber training, MFA, access controls or revised device policies, proactive measures taken today stop hackers in their tracks and protect you, your clients and your business.

Check if you’re ready for CAF, complete our readiness questionnaire here: https://msp-caf-readiness.scoreapp.com/