Additional cuts announced, sparking fears of further layoffs
The total costs incurred due to the break-in, believed to be carried out by the Black Basta ransomware group in March last year, stand at £25.3 million . The sum exceeds the initial estimates made in the immediate post-mortem of the incident but falls in line with the updated estimates published late last year .
As a result, newly minted Capita CEO Adolfo Hernandez announced further cost cuts for the coming year that aim to save the business an additional £100 million by mid-2025 . "We have strong foundations and the opportunity for significant growth in the medium and longer term. I look forward to sharing more details on Capita's future strategy in June."
In November last year, and on the same day it announced the near-four-figure job cuts, Capita alerted the London Stock Exchange that it won a ten-year contract worth £239 million to The attack also had a substantial influence on the cash generated from operations, which decreased from £98.4 million to £41.2 million – driven in part by the cash costs of the cyberattack.