Lost data 'can damage company reputation'

Keeping information secure is crucial to maintaining consumer confidence as well as avoiding financial losses, according to information technology services firm Small Business Computing.

Businesses should ensure that they have a data protection policy in force to reduce the risk of personal information being misplaced or misused.

A spokesperson for Small Business Computing added: "Disaster recovery is also important and having a secondary backup system that is off-site so you can restore data.

"[Data losses] will also impact on the integrity and the reputation of the business. Losing date that is important can breach confidentiality."

Around six per cent of all PCs will suffer an episode of data loss in any given year, according to the Boston Computer Network.

Research by the the Ponemon Institute last year found that 62 per cent of people would be more upset with a firm that lost their data due to negligence than if the same information was lost due to theft.

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