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Don’t believe the hype: while the $1 billion tax break for digital spending announced by Josh Frydenberg in the Federal Budget was pumped up as a way to help firms improve their cyber security readiness, it falls scarily short of the mark.
This article by Revium Managing Director Adam Barty was first published in the Australian Financial Review - you can read the full article here.
Don’t believe the hype: while the $1 billion tax break for digital spending announced by Josh Frydenberg in the Federal Budget was pumped up as a way to help firms improve their cyber security readiness, it falls scarily short of the mark. That’s a big problem for Australian business.
The announcement was more about making headlines in the lead up to an election than being part of a considered, structured, long-term cyber security strategy. If anything, in an increasingly digital-dependant world, it serves to highlight the government’s complete failure over a long period of time to properly address the ever-growing security challenges businesses are facing.
The tax break comes off the back of a much vaunted, but incredibly underwhelming Cyber Security Strategy released by the Federal Government in August 2020. At the time, the government said cyber security incidents were costing Australian businesses $29 billion a year. As part of the new strategy, it committed a grand total of $1.67 billion to fix the problem, spread over 10 years. That equates to $167 million a year. In other words, the government planned to fix the problem of cyber crime by investing less than half a percent of what the problem is actually costing the country...
Read the rest of the article on the AFR website by clicking here.