NIS2 (EU) & NIS1 (UK): What Businesses Need to Know

NIS2 is now in effect across the EU. NIS1 applies in the UK.
Affected businesses must implement and document
IT security measures demonstrably.

NIS2 Requirements for Businesses

Executive Liability

NIS2 Article 20: Management bodies are responsible for implementing and overseeing cybersecurity risk management measures. They can be held personally liable for breaches.

Documentation Requirements

NIS2 Article 21: Businesses must document technical and organizational measures and be able to demonstrate compliance upon request from authorities.

Reporting Obligations

NIS2 Article 23: Significant security incidents must be reported to authorities within 24 hours. A detailed report must follow within 72 hours.

What is NIS2?

The NIS2 Directive (Network and Information Security Directive 2) is an EU directive to strengthen cybersecurity across the European Union. It significantly expands the scope and requirements of the original NIS Directive.

17 October 2024

NIS2 transposition deadline – now in effect

Fines for Non-Compliance

NIS2 provides for fines of up to 10 million euros or 2% of global annual turnover – whichever is higher. The amount depends on the severity of the violation.

What is NIS1 (UK)?

The NIS Regulations 2018 is the UK's implementation of the original EU NIS Directive. Since Brexit, the UK is no longer subject to NIS2, but NIS1 remains in force and imposes similar cybersecurity requirements on operators of essential services and digital service providers.

Since 2018

UK NIS Regulations in force

UK Fines for Non-Compliance

The UK NIS Regulations provide for fines of up to £17 million for the most serious breaches. The UK is also developing the Cyber Security and Resilience Bill to further strengthen requirements.

Which Businesses Are Affected?

NIS2 (EU) and NIS1 (UK) apply to businesses in certain sectors that exceed specific thresholds (typically 50+ employees or 10 million euros turnover):

Essential Entities

Energy (Electricity, Gas, Oil)
Transport (Air, Rail, Water, Road)
Banking & Financial Markets
Healthcare
Drinking Water & Wastewater
Digital Infrastructure
Public Administration
Space

Important Entities

Postal & Courier Services
Waste Management
Chemicals
Food
Manufacturing (Medical Devices, IT, Machinery, Vehicles)
Digital Services
Research

Indirectly Affected Businesses

If you are a supplier or service provider to NIS2-regulated businesses, they will require evidence of your IT security measures. Supply chain security is a central component of NIS2.

Technical Requirements of NIS2 & NIS1

Both directives require similar measures – System Dog helps you implement them:

Asset Management

Automatic inventory of all IT systems and devices in your network.

Vulnerability Management

Continuous CVE monitoring and detection of security vulnerabilities.

Patch Management

Monitoring of software versions and pending updates.

Continuous Monitoring

24/7 monitoring of all systems with intelligent early warnings.

Compliance Documentation

Audit-ready reports and evidence for audits and authorities.

EOL Management

Detection of outdated systems and end-of-life software.

How System Dog Helps with NIS2 & NIS1 Compliance

NIS2/NIS1 Requirement System Dog Solution
Overview of all IT systems Automatic IT inventory
Vulnerability management CVE monitoring and alerts
Documentation for authorities Audit-ready compliance reports
Detection of security incidents Continuous monitoring
Proof of due diligence Complete audit trail

Core Obligations Under NIS2 & NIS1

Both directives require affected businesses to implement the following measures:

  • Risk Management (Article 21): Technical and organizational measures to manage cybersecurity risks.
  • Incident Reporting (Article 23): Reporting significant security incidents to authorities within 24 hours.
  • Registration: Registration with the relevant national authority as an affected entity.
  • Management Responsibility (Article 20): Personal responsibility of management for implementation.

Recommendation

Check early whether your business falls under NIS2 (EU) or NIS1 (UK) and start implementing the required measures. Demonstrable IT monitoring is an important building block for compliance.

4 Steps to NIS2 & NIS1 Compliance

1

Assessment

We identify all IT systems in your organization – completely and automatically.

2

Installation

Monitoring agents are installed on all systems – without interrupting operations.

3

Monitoring

Continuous 24/7 monitoring with automatic early warnings when risks are detected.

4

Compliance

Regular reports document your IT security – audit-ready for authorities and audits.

Questions About NIS2 or NIS1 Compliance?

We're happy to advise you on how System Dog can help you meet NIS2 (EU) or NIS1 (UK) requirements.

Questions and Answers