One-in-five breaches are now AI-related, IBM warns

More than one-in-five (22%) of UK firms have experienced an AI-related security breach in the last year, according to new research from IBM.

Findings from the firm’s 2026 Cost of a Data Breach report found AI-driven cyber attacks surged 56% across that period, prompting calls for enterprises to sharpen defenses.

The IBM study noted that the costs associated with AI-related breaches are “fundamentally changing the economics of cyber risk”, with the financial impact now standing at an average of $6 million.

Cyber criminals are increasingly focusing their attention both on targeting AI systems, and leveraging the technology to wage more devastating attacks, according to IBM.

Around 20% of organisations reported a breach where threat actors specifically targeted AI models or applications. The most frequent targets were “weaknesses in surrounding systems” such as compromised APIs or plug-ins (27%) and cloud misconfigurations (27%).

Running parallel to these threats, threat actors are also weaponizing AI to accelerate operations.

Deepfake impersonation ranked as the most common type of AI-enabled attack, cited by 45% of respondents. Meanwhile, AI-enabled malware and phishing attacks are also growing in frequency and scale.

Mark Hughes, global managing partner for IBM’s Cybersecurity Services division, said the report highlights the dual threats now facing enterprises globally. AI is creating new risk surfaces for firms, and hackers are actively using the technology to target these weak spots.

“AI has dramatically lowered the barrier for cybercriminals. Attackers can now execute attacks in minutes rather than days with advanced frontier models,” he said.

“Organizations need to move faster from reactive security to a continuous autonomous defence if they want to keep up.”

Positive resilience gains

Despite painting a dire picture of the current threat landscape, IBM noted that organizations are making positive steps toward bolstering cyber resilience.

Nearly two-thirds (61%) of UK firms plan to increase cybersecurity investment in the wake of a breach, the study noted, with IT leaders sharpening their focus on areas like incident response, AI governance, and data protection.

This same investment focus is reflected in global figures, according to IBM. In follow-up research conducted by Ponemon Institute, 85% of organizations said they plan to increase security spending in direct response to frontier AI cyber capabilities.

That marks a significant shift compared to the year prior, in which just 64% of respondents planned to increase investment due to AI-related threats.

Breach costs are decreasing

Elsewhere, IBM found that breach costs for UK firms are also decreasing. The average cost this year stands at £3.13 million compared to £3.29 million in 2025.

The number of breaches has increased, however, albeit marginally. The firm recorded 29,870 across the last year compared to 29,000 in 2025.

Breach costs also vary on a sector-by-sector basis. Financial services, for example, recorded an average cost of £5.46 million while costs for energy firms stood at £4.03 million.

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