Tesco Bank fined by UK regulator over hacking

October 1, 2018
A customer uses an RBS branded automated teller machine (ATM), at a Tesco Bank cash point, in Liverpool, north west England, on November 7, 2016

Britain's Tesco Bank has been fined £16.4 million ($21.4 million, 18.4 million euros) for failing to protect customers during a 2016 cyber attack, regulators said Monday.

The supermarket's bank division failed "to exercise due skill, care and diligence in protecting its personal current account holders against a ", the Financial Conduct Authority said in a statement.

The attackers netted £2.26 million during the 48-hour incident in November 2016, according to the watchdog.

The attack "exploited deficiencies" in the design of Tesco Bank's , as well as its financial crime controls and financial crime operations team, it said.

Tesco Bank customers were therefore left vulnerable to what the regulator described as a largely avoidable incident.

"The fine the FCA imposed on Tesco Bank today reflects the fact that the FCA has no tolerance for banks that fail to protect customers from foreseeable risks," said Mark Steward, FCA executive director of enforcement and market oversight.

"In this case, the attack was the subject of a very specific warning that Tesco Bank did not properly address until after the attack started.

"This was too little, too late. Customers should not have been exposed to the risk at all."

Explore further: 20,000 defrauded as UK's Tesco Bank hit by hack attack

Related Stories

SunTrust's online banking difficulties enters third day

September 18, 2018

Customers of the large regional bank SunTrust are experiencing a third day of outages and difficulties from its online banking services, a particular problem for its customers in North and South Carolina who are currently ...

Recommended for you

Coffee-based colloids for direct solar absorption

March 22, 2019

Solar energy is one of the most promising resources to help reduce fossil fuel consumption and mitigate greenhouse gas emissions to power a sustainable future. Devices presently in use to convert solar energy into thermal ...

Paleontologists report world's biggest Tyrannosaurus rex

March 22, 2019

University of Alberta paleontologists have just reported the world's biggest Tyrannosaurus rex and the largest dinosaur skeleton ever found in Canada. The 13-metre-long T. rex, nicknamed "Scotty," lived in prehistoric Saskatchewan ...


Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.