20 Years Since First State-Sponsored Hack of British Government
Reflections on the 2003 Attack

Overt Operator
June 30, 2023
On the 20th anniversary of the first known state-sponsored hack on the British government, the UK's intelligence agency, the Government Communications Heaquarters, abbreviated GCHQ, has revealed details of the 2003 cyber-espionage incident.
Even two decades later, the full specifics of the breach remain undisclosed, but the incident proved to be a turning point in the nation's cyber defence strategy.
The breach was discovered when a government employee noted suspicious activity on their workstation, prompting a call to the Communications-Electronics Security Group (CESG) — the GCHQ's information assurance arm at the time.
The CESG's in-depth analysis unveiled a sophisticated malware system designed to pilfer sensitive data while circumventing anti-virus software. The threat was believed to have originated from a phishing email that the employee had received.
Paul Chichester, the NCSC’s director of operations, reflected on the incident:
“Twenty years ago, we were just crossing the threshold of the cyber attack arena, and this incident marked the first time that GCHQ was involved in a response to an incident affecting the UK Government," Chicester said, as he was quoted by media reports.
At that time, the landscape of cybersecurity was primarily dominated by concerns about worms and viruses affecting consumer products, or hackers with criminal or mischievous intent. The concept of state-sponsored cyberattacks was largely uncharted territory, and this breach served as a wake-up call.
The hack led to a transformative shift in the way the UK and Europe viewed potential online threats. It marked a turning point in how cyber incidents were investigated and defended against. "It was also the first time that the UK and Europe started to understand the potential online risks we faced and our response transformed how we investigate and defend against such attacks,” Chichester added.
The CESG's analysis of the malware's capabilities raised suspicions about the attacker's intent, prompting a series of actions that GCHQ labelled as transformative to cyber incident investigations.
“For the first time, GCHQ fused its signals intelligence capabilities with its cybersecurity function to investigate and identify the actor responsible,” the agency stated. The analysis concluded that the malware was developed by a nation-state for espionage purposes, but the agency did not disclose the specific state or the government department affected.
In 2016, the CESG was integrated into the National Cyber Security Centre (NCSC) alongside several other authorities, as part of a broader effort to bolster the UK's cyber defenses. Since then, the NCSC has taken a central role in the UK's defence against cyber threats.
“The NCSC and our allies have come such a long way since this incident, and it is reassuring to be at the forefront of efforts to develop tools and techniques to defend against cyber threats and keep our respective nations safe online," Chichester said, as quoted by media reports.
While the full details of the 2003 attack remain classified, at the time of this report, the revelations serve as a sobering reminder of the threats faced by governments around the world in the realm of cyberspace, and the critical importance of a robust and agile cyber defense strategy.