One password, 700 jobs: how ransomware crippled KNP Logistics Group and what it means for the sector

The UK is facing an unprecedented surge in ransomware attacks, with 2025 predicted to be the worst year on record by the National Crime Agency. Ransomware is immobilising supply chains, threatening critical infrastructure and costing businesses millions. Cybercrime is no longer the domain of a select few, it’s a booming industry. Indeed, ransomware-as-a-service has lowered the bar, enabling young, tech-savvy criminals to launch ever more sophisticated attacks.

The transport and logistics sector is a prime target for cybercriminals due to its high-value, high-pressure nature which depends heavily on digital systems, real-time data and complex supply chains – all of which create a large attack surface for cyber threat actors.

One example of the truly crippling impact of a ransomware attack for the sector was the case of KNP Logistics Group (KNP), the parent company of the 158-year-old haulage firm Knights of Old, that saw the compromise of one password lead to the loss of approximately 700 jobs.

In this article, Chris Powell, Partner at Weightmans, and Steve Sandford, Partner at CyXcel, look back at what happened to the logistics giant and what the transport and logistics sector could learn from the incident in 2025.

What happened to KNP Logistics Group?

In June 2023, the ransomware gang Akira gained access to KNP’s systems by brute-forcing an employee’s password, and with no multi-factor authentication (MFA) in place, they were able to infiltrate the network with ease. Once inside, the threat actors encrypted critical data and demanded a ransom estimated at GBP 5 million. The attack affected key systems, processes and financial information. Despite having cyber insurance and industry-standard IT systems, the company was unable to recover.

Which factors led to the cyber incident?

The KNP incident offers a stark reminder of how digital vulnerabilities can cascade into operational crises. Here are five critical factors that shaped the incident and what they reveal about the evolving cyber risk landscape.

Operational fragility: modern logistics firms are deeply reliant on interconnected digital systems, from fleet scheduling and inventory tracking to real-time communications. When these systems fail, the impact is immediate and severe. At KNP, over 500 lorries were immobilised due to inaccessible data, underscoring how a single breach can paralyse entire operations.

Supply chain disruption: cyberattacks rarely stay contained. When a logistics provider goes offline, the disruption ripples outward, delaying deliveries, emptying shelves and eroding customer trust. The M&S fallout exemplifies this, where delayed shipments led to visible gaps in product availability, directly affecting business continuity.

Human error as a gateway: the KNP case underscores how a single weak password can be catastrophic. In logistics, where large workforces and distributed teams are common, enforcing strong password policies and MFA among employees is critical.

Insurance and compliance gaps: even with cyber insurance and industry-standard IT, KNP couldn’t recover. This raises questions about the adequacy of current risk assessments and whether companies should be required to meet higher standards.

Rising threat landscape: with ransomware attacks increasing and becoming easier to execute, logistics firms must prepare for a future where cyber resilience is as vital as physical security.

What could transport and logistics businesses do to avoid a similar fate?

Transport and logistics businesses can take several proactive steps to avoid falling victim to ransomware attacks like the one that destroyed KNP.

Strengthen your cyber hygiene

• Use complex, unique passwords and implement MFA across all systems
• Ensure all systems, including fleet management and warehouse tools, are patched against known vulnerabilities
• Apply the principle of least privilege (e.g. zero-trust) so that employees can only access systems necessary for their roles

Invest in cybersecurity infrastructure

• Deploy advanced antivirus and anti-malware solutions across all devices
• Isolate critical systems so that a breach in one area doesn’t compromise the entire network
• Maintain encrypted, offline backups and test recovery procedures regularly

Train and educate staff

• Teach employees to look out for phishing attempts, social engineering tactics and suspicious activity
• Run regular penetration tests and phishing simulations to assess and improve readiness

Develop a cyber incident response plan

• Outline clear steps for detection, containment, communication and recovery
• Partner with cybersecurity firms, such as CyXcel, or consultants for rapid response and forensic analysis

Audit and certify

• Conduct regular third-party assessments to identify gaps
• Consider standards like ISO 27001 or Cyber Essentials Plus to demonstrate resilience and build trust

Collaborate and report

• Join industry groups or government initiatives like the NCSC’s Early Warning service to share intelligence
• Report incidents as transparency helps authorities track threats and prevent wider damage

Rethink insurance

• Ensure cyber insurance policies cover ransomware, business interruption and data recovery
• Understand limitations of your policies — know what’s excluded and what triggers a payout

Conclusion

The collapse of KNP is more than a cautionary tale, it’s a wake-up call for the entire transport and logistics sector. In an industry where operational continuity depends on digital precision and reliable supply chains, cyber resilience must be treated as a strategic priority, not a technical afterthought.

The fact that one compromised password led to the loss of 700 jobs and the downfall of a 158-year-old firm illustrates the fragility of even the most established businesses in the face of modern cyber threats.

Transport and logistics firms must embed cybersecurity into every layer of their operations, from employee training and access controls through to infrastructure investment and incident response planning. Collaboration across the sector, transparency in reporting, and alignment with recognised standards will be key to building trust and resilience.

To find out more about CyXcel, Weightmans’ global cybersecurity advisory business, and how our cyber experts can support you in becoming more cyber resilient in the face of today’s rapidly changing risk landscape, visit the CyXcel website.