Marks & Spencer has been forced to halt online orders for a fourth consecutive day as it continues to grapple with the fallout from a cyber attack. Visitors to the retailer's website are greeted with a message stating that online shopping has been 'paused ... as part of our proactive management of a cyber incident'.
The disruption has led to a significant slowdown at M&S's clothing and homeware logistics centre in Castle Donington, East Midlands. Approximately 200 agency staff, representing around 20 per cent of the site's workforce, were told not to report for their shifts today, although the company's own employees have been asked to attend as usual.
Customers can still browse products online and make purchases in stores, but click and collect orders have been affected. One frustrated customer reported receiving an email to collect an order, only to find the click and collect area unmanned with black screens, while another criticised the lack of clear communication about the service.
M&S has enlisted the help of US cyber security firm CrowdStrike to tackle the incident. The source of the attack remains unknown, but a source close to the situation dismissed suggestions of Russian involvement, indicating that criminals are the most likely culprits. In such attacks, criminals typically infiltrate IT systems, freeze them, and demand payment.
The ongoing suspension of online orders, which account for around a third of M&S's clothing and homeware sales, has raised investor concerns. Shares fell 2.7 per cent to 375p in early trading, bringing total losses since the attack was revealed on 22 April to around 8 per cent. Susannah Streeter, head of money and markets at Hargreaves Lansdown, warned that the prolonged disruption 'will be hugely damaging for sales'.
M&S has not provided a timeline for when the issue will be resolved, but the attack comes at a busy period for retailers heading into the summer season. Despite the setback, analysts note that M&S remains in strong financial shape, with a robust balance sheet and capacity to invest in improving processes.
