UK NCSC Flags Shadow AI Data and Security Risks

The UK NCSC warns that shadow AI can expose sensitive data and create security blind spots, urging organizations to manage the use of AI in the workplace securely.

Written By
Jordan Smith
Jordan Smith
Sep 11, 2026
2 minute read
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The UK’s National Cyber Security Centre (NCSC) is warning organizations that employees’ use of unapproved AI tools is creating new risks around sensitive data exposure, visibility, and cybersecurity controls as workplace AI adoption accelerates.

Shadow AI creates a security blind spot

According to the NCSC, the risks associated with shadow AI introduce new opportunities for attackers to harm UK businesses.

“Rather than preventing them from using AI, this can mean employees turn to using AI tools that have not been approved by their organization, introducing new cybersecurity risks that can be hard to identify,” the NCSC states.

The guidance cites research from Microsoft, which found that 71% of UK employees have used AI tools that were not employer-approved.

Our coverage of TrustedTech’s 2026 AI report also highlights the importance of leaders and individual contributors alike understanding the risks of shadow AI use.

The NCSC warns that organizations need to crack down on unapproved use, stating:

“Where cybersecurity policies cannot meet business needs, organizations are likely to continue seeing their employees adopt new AI services before they have had time to assess them and provide approved alternatives. This trend is likely to be reinforced as AI capabilities become increasingly affordable and readily available.”

Guidance emphasizes careful approach to AI

The NCSC emphasizes that it is not recommending that individuals stop using AI, but rather that they use these tools to assist with work tasks and think carefully about which apps and services they use before sharing data.

The challenge for organizations, NCSC notes, is ensuring employees have access to AI tools that meet their needs while managing cyber risk.

NCSC recommends that organizations should:

  • Adopt a positive cybersecurity culture – one that encourages open communication about cybersecurity issues, making employees much less likely to turn to shadow AI services.
  • Securely integrate AI systems into the workplace and refer to the NCSC and international partners’ guidance on careful adoption of agentic AI services.
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The UK channel angle

The warning from the UK agency is one that channel organizations should heed, as shadow AI poses a new security management challenge.

As a result, customers will increasingly need help discovering, governing, and securing unauthorized AI usage.

MSPs and MSSPs can potentially package AI discovery and governance into managed security services, as some have already started.

Further, UK and European Union regulatory requirements increase the importance of controlling enterprise AI. This creates an opportunity for security vendors and MSSPs to build new recurring services around those controls to keep end customers aligned to regulatory standards.

Jordan Smith

Jordan Smith is an enterprise technology and cybersecurity journalist with nearly a decade of experience covering B2B IT, federal technology, artificial intelligence, cybersecurity, cloud computing, and emerging digital trends. His reporting helps business and technology leaders understand how new technologies, security challenges, and infrastructure decisions affect modern organizations. Jordan has reported on enterprise and public-sector technology for TechnologyAdvice, HCLTech, MeriTalk, and Channel Insider. His background spans cybersecurity, cloud infrastructure, AI adoption, digital transformation, and federal IT initiatives, giving him a broad perspective on the tools, policies, and innovations shaping today’s technology landscape. Before joining TechnologyAdvice, Jordan served as a Senior Technology Reporter at MeriTalk, where he covered the federal IT space, and later worked as a US Regional Reporter and Copy Editor/Writer for HCLTech. His experience across reporting, copyediting, podcasting, and event moderation allows him to translate complex technical topics into clear, timely, and useful insights for business audiences. Jordan holds a Master of Arts in Journalism from the University of Nebraska–Lincoln and a Bachelor of Science in Criminal Justice and Psychology from Edgewood University. Through his work, he helps readers stay informed about cybersecurity developments, enterprise technology trends, and the business impact of emerging IT solutions.

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