Cyber security has become one of the most active areas of strategic investment for boards and business leaders. As digital transformation accelerates and regulatory expectations grow, organisations are no longer asking if they should invest in cyber resilience, but how to invest for the greatest strategic impact.
In 2026, that question will define competitive advantage.
The companies that thrive in this next chapter are shifting from reacting to threats to strategically building resilience. They are investing in preparation, not just defence. And they are doing it with purpose.
The budget pivot has already started
Global cyber security spend is set to reach $240 billion by 2026, growing up to 15 percent year on year. This rate consistently outpaces general IT spend by around five percent. But this is not just about spending more. It is about spending smarter.
Boards are under pressure to see measurable returns: faster detection, reduced risk exposure and stronger compliance. Insurers are asking tougher questions. Regulators are demanding continuous oversight, not just box-ticking.
This is pushing leadership teams to rethink how cyber is funded and delivered. Gone are the days of patchwork tools and one-off fixes. The shift we are seeing is deeper and more strategic. It is reshaping how organisations structure and operate their cyber programmes.
From owning tech to buying outcomes
One of the most significant changes is how organisations approach operations. The traditional route of building an in-house Security Operations Centre (SOC) is becoming increasingly hard to justify.
A round-the-clock internal team can cost up to £2.8 million a year once salaries, tools, training and turnover are factored in. Given these costs, it is understandable why many companies are shifting to managed security partners who can deliver equivalent coverage, often at 40 to 60 percent less.
But this is not just a cost play. Managed models offer scalability, broader threat visibility and faster time to value. That is why mid-sized companies are leading the charge, with managed services on track to represent over 50 percent of security budgets by 2027.
Turn cyber investment into strategic advantage
See how boards are reshaping their cyber budgets to strengthen trust, agility and long-term growth in LRQA’s From reactive to strategic – Reshaping IT and security budgets for 2026.
Download the whitepaper now
Automation is quietly rewriting the rules
Behind the scenes, automation and AI are quietly extending the reach of traditional security operations and testing.
AI-powered triage now helps teams cut response times by up to 70 percent, filtering false positives so analysts can focus on genuine threats. Security teams using AI see mean time to detect improve by as much as 45 percent, showing how intelligent automation enhances human capability rather than replacing it.
For testing, automation is becoming an essential complement to traditional penetration testing. AI-driven platforms provide continuous visibility between manual test cycles, mapping attack paths and validating vulnerabilities as systems evolve. This approach strengthens the value of point-in-time testing rather than replacing it, combining human insight with machine speed to deliver faster and more adaptive assurance.
Automation enables scale. People still make the decisions that matter but AI ensures they have clearer data, greater reach and more time to focus on high-value work.
It’s not about spending more, it’s about spending right
LRQA’s latest whitepaper reveals a growing divide. Some organisations are still stacking tools without a clear roadmap. Others are stepping back to ask a more strategic question: is our cyber strategy built to scale?
That question is reshaping budgets. Not through inflating them but by focusing on what delivers real impact: resilience, visibility and results. Forward-thinking teams are aligning investment with actual risk because that is what boards, regulators and insurers care about today.
Where do you stand?
If you are planning your 2026 cyber budget, here are the questions that matter:
- Are you investing in outcomes or just adding more tools?
- Does your cyber posture scale with your digital transformation roadmap?
- Can you demonstrate how your security investment reduces business risk?
- Does your testing approach combine continuous insight with traditional assurance?
- Are your operations built for agility or compliance?
These are the conversations happening in boardrooms right now. The organisations asking them are the ones that will stay ready, not just compliant but confident in their resilience.
Cyber resilience in 2026 will not come from bigger budgets but from smarter decisions. The organisations leading the charge are not only reacting faster; they are preparing better. By aligning cyber investments with business priorities, they are building a foundation of resilience, trust and strategic growth.
To learn how LRQA can help you strengthen resilience and align cyber investment with business priorities, visit our Cyber Security Solutions page or get in touch with our team.
