The UK’s Cyber Security and Resilience Bill (CSRB) brings managed service providers into scope, strengthens supply-chain oversight and tightens incident reporting. This post summarises what MSPs and defence-sector suppliers need to do next.
The UK Cyber Security and Resilience Bill: What Managed Service Providers and the Defence Sector Need to Know
Date: 12 November 2025
By: Metier Solutions Ltd
Strengthening the United Kingdom’s Digital Backbone
The UK Government has introduced the Cyber Security and Resilience Bill (CSRB) to reinforce national digital defences after high-impact incidents across healthcare, energy and local government. Managed Service Providers (MSPs) and defence supply-chain partners are in sharper focus because of the privileged access they hold to essential services and sensitive environments.
According to government analysis, cyber attacks now impose multi-billion-pound annual costs across the UK economy. The Bill shifts emphasis from guidance to enforceable requirements, aiming to raise baseline security and resilience across essential services and their suppliers.
Core Features of the Bill
| Policy Area | Key Measures | Primary Bodies |
|---|---|---|
| Broader Scope | Brings Managed Service Providers into the regulatory framework; strengthens duties for Operators of Essential Services and relevant digital service providers; enables designation of Critical Suppliers. | DSIT, ICO, sector regulators |
| Incident Reporting | Initial notification to the NCSC within 24 hours, followed by a full report within 72 hours for in-scope entities; duties to notify affected customers for significant incidents. | NCSC, relevant regulators |
| Regulatory Powers | Enhanced information-gathering, investigation and enforcement; cost-recovery mechanisms; ability to update requirements via secondary legislation to address emerging threats. | ICO and sector regulators |
| Penalties | Tougher, turnover-based penalties for serious non-compliance to deter under-investment in cyber security. | Regulators as applicable |
What Changes for Managed Service Providers (MSPs)?
- In scope: Services with ongoing management/administration/monitoring of IT systems, infrastructure, applications or networks, including managed security services (SOC, SIEM, IR, vulnerability management).
- Obligations: Maintain proportionate technical and organisational controls; implement supply-chain risk management; evidence resilience testing; and meet incident reporting timelines.
- Assurance posture: Expect regulator/ICO oversight, information requests and alignment to NCSC guidance (e.g., CAF, Active Cyber Defence, Cyber Essentials/CE+ as applicable).
Implications for the UK Defence Sector
While the Ministry of Defence (MoD) maintains its own cyber governance, the Bill elevates expectations on defence suppliers, particularly MSPs and software/infrastructure partners delivering to programmes.
- Secure-by-Design (MOD Digital): Bake security into requirements, architecture, delivery and through-life management.
- Defence Cyber Certification (DCC): Organisation-level certification for defence suppliers (administered with IASME) providing clearer assurance across the supply chain.
- Supply-chain resilience: Contracts and due-diligence pathways are likely to formalise minimum controls, continuity planning and third-party assurance.
What to Do Now (MSPs & Defence Suppliers)
- Map scope: Identify services that meet the Bill’s definition of a “managed service” and catalogue customer/data/system access.
- Align to NCSC CAF: Baseline against Identify, Protect, Detect, Respond, Recover; close gaps; document evidence.
- Harden supply chains: Introduce tiered supplier requirements; track “critical supplier” exposure; build continuity plans.
- Ready your incident playbook: Ensure 24-hour initial notification and 72-hour full reporting are operationally achievable.
- Defence alignment: If you operate in MoD supply chains, plan for Secure-by-Design adoption and DCC certification levels as required by procurements.
Key Takeaways
- MSPs are explicitly brought into cyber regulation, with oversight by the ICO and sector regulators.
- Reporting: initial notification to NCSC within 24 hours; full reporting within 72 hours for in-scope incidents.
- Critical-supplier designation will extend duties deeper into supply chains.
- Turnover-based penalties increase the cost of poor cyber governance.
- Early movers, especially in defence, can convert compliance into competitive advantage.
References
- Department for Science, Innovation & Technology (2025). Cyber Security and Resilience Bill – Policy Statement (CP 1299). GOV.UK. Policy statement page | PDF
- UKAuthority (2025). Government publishes Cyber Security and Resilience Bill. Article
- FutureScot (2025). Managed service providers and data centres to fall under new cybersecurity regulatory regime. Article
- Digital MOD.UK (MoD). Secure by Design. Guidance
- IASME (2025). Defence Cyber Certification. Scheme overview
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