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Business continuity in the public sector: essential services need a Plan B

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Ransomware, espionage, denial-of-service attacks and technical faults are affecting local authorities, schools, hospitals and utility companies in Germany with increasing frequency. In this article, you will find out who is behind the attacks, which areas of the public sector are affected and how public institutions can use Business continuity management (BCM) to remain operational in the event of an emergency.

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Cyberattacks and IT outages have become part of everyday life

In 2025, 1,041 ransomware attacks were reported in Germany, 10 % more than in the previous year. This is shown in the Federal Cybercrime Situation Report published by the Federal Criminal Police Office (Bundeskriminalamt, BKA). Businesses and public institutions are the main targets. The number of distributed denial-of-service (DDoS) attacks rose even more sharply, by 25 % – with government agencies and public administrations among the most frequent targets. The Federal Office for Information Security (Bundesamt für Sicherheit in der Informationstechnik, BSI) reaches a similar conclusion in its report "IT Security in Germany 2025": public administration is currently the main target of cyber espionage in Germany.

After a cyberattack on the Eichstätt municipal administration came to light on 12 October 2026, large parts of the IT system had to be taken offline as a precautionary measure. As a result, many municipal services were unavailable via email for several days. In September 2026, blackmailers gained access to large quantities of data and documents via the Berlin administration’s data network, paralysing key public services for days. Similarly, in the summer of 2026, the Rhein-Nahe Association of Municipalities fell victim to a cyberattack and faced far-reaching restrictions, including in the areas of email communication, public services and financial administration.

A look at cases from further back illustrates the far-reaching consequences of such attacks and outages: following a cyberattack in July 2021, the district of Anhalt-Bitterfeld was forced to declare a state of emergency, which lasted seven months and caused damage amounting to approximately 2.5 million euros. In October 2023, 74 local authorities and around 1.7 million residents in North Rhine-Westphalia were affected following a ransomware attack on the local authority IT service provider Südwestfalen-IT.

Who is behind the attacks?

Cybercriminals seeking to make a profit

Criminal extortionist groups continue to account for the largest proportion of cyberattacks. They are after money: They use, amongst other things, ransomware, phishing and business email compromise, encrypt data and also threaten to publish the stolen information. Local authorities are often targeted at random, as perpetrators use automated tools to scan the internet for vulnerabilities. Nevertheless, public bodies remain a lucrative target: they manage sensitive registration, social security, health and pupil data, and are under considerable pressure to resume their services quickly.

Politically motivated cyber-attacks

State and state-affiliated actors take a different approach: they seek information and influence, and in extreme cases, opportunities for sabotage. According to BSI President Claudia Plattner, most attacks originate from Russia, China, Iran or North Korea. The main targets are ministries and government departments, the judiciary and security agencies. Energy and water suppliers face the additional risk of sabotage.

Hacktivist groups also pursue political goals: they aim to attract media attention and influence the political and social landscape. Very often, they use denial-of-service attacks to cripple the websites and online services of government bodies, local authorities and federal states. In 2025, the BKA recorded more than 700 announcements and reports of attacks against targets in Germany. According to the BKA, hacktivism is rising sharply: in 2025, the figure was 224 % higher than in the previous year.

In addition to cyber-attacks, there are also outages caused by software and hardware faults, or by power cuts, fires or flooding.

 

Effective contingency planning must therefore cover all potential risks.

The entire public sector is becoming a target

If a public institution fails, entire local authorities, districts or groups of people are affected. The situation is exacerbated by the fact that many institutions have to make do with tight budgets and limited IT staff, and share data centres. Furthermore, any outage is immediately visible to the public.

If servers and email accounts belonging to cities, towns or districts are encrypted in a ransomware attack, public services come to a standstill. A system failure at local authority IT service providers or in local authority data centres affects many member local authorities simultaneously. An espionage attack or data breach in state and federal authorities, the judiciary or the executive exposes or paralyses internal coordination, confidential documents, procedures and processes.

As the examples show, these attacks often affect critical operations and services provided by organisations, including hospitals and public health authorities, emergency services and fire brigades, as well as energy, water and waste management. Similarly, schools, universities and research institutions, local public transport and transport operators, as well as job centres, social security agencies and social services, are targets and victims of cybercriminals.

Different legal obligations for public bodies

The NIS-2 Directive and the corresponding German implementing legislation establish an important legal framework not only for businesses but also for public administration: for the federal government, the NIS-2 Implementation Act applies. The federal states are responsible for their own authorities. They are implementing NIS-2 at varying speeds, either by law or by administrative regulation.

Local authorities occupy a special position: Germany has not made use of the option to include them, and the existing state laws apply only to the state administration. There is hardly any federal state in which local authorities are required to report IT security incidents. Nor does the federal act cover schools and universities.

However, this does not mean that local authorities are exempt from NIS-2: local infrastructure such as municipal utilities, water suppliers, waste management companies, transport operators or local hospitals may well fall within the scope of the implementing legislation. The sector and size of the organisations are the decisive factors. In our blog on the German NIS-2 Implementation Act , you can find out more about it.

Operators of critical infrastructure, such as in the energy, water and healthcare sectors, have also been required to comply with the KRITIS umbrella law since 17 March 2026. It requires risk analyses, resilience plans and reports to be submitted within 24 hours. This means that local utility providers are affected in two ways.

Even though NIS-2 and the KRITIS Framework Act are not binding on the entire public sector, two principles apply:

  • If personal data is compromised in an incident, the organisation must, as a rule, report this to the data protection supervisory authority within 72 hours in accordance with the GDPR.
  • Even in the absence of legal obligations, there remains a social responsibility to provide essential public services.

The BSI 200-4 standard provides a common benchmark for all organisations. It describes how organisations, as part of their business continuity management (BCM), identify time-critical processes, implement emergency preparedness measures and draw up business continuity plans.

 

On our blog, we bring together the most important information on business continuity plans in accordance with the BSI Standard 200-4. It forms the methodological basis for effective business continuity management.

Make sure your organisation is prepared for an emergency.

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