Skip to content

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved.

IAG share price: what's next after record fine for British Airways?

IAG share price falls after the UK Information Commissioner's Office threatens a record fine against British Airways.

British Airways plane after IAG record fine Source: Bloomberg

IAG share price fell 2% after an impending record fine against the British Airways owner. British Airways faces a fine of £183.39 million from the UK Information Commissioner's Office (ICO) for a data breach involving 500,000 customers. The fine would be equal to 1.5% of British Airways’ annual revenue.

IAG fine details

British Airways could face a heavy fine because of a large data breach involving hundreds of thousands of customers having their financial data exposed in 2018. Clients were redirected from the British Airways site to a fake website that collected customers’ personal details.

The ICO said that British Airways violated the General Data Protection Regulation (GDPR) when the customers’ data were compromised. Information Commissioner, Elizabeth Denham, said in a statement that British Airways failed to protect the private information of clients.

‘People’s personal data is just that – personal’, said Denham.

‘When an organisation fails to protect it from loss, damage or theft it is more than an inconvenience. That’s why the law is clear – when you are entrusted with personal data you must look after it. Those that don’t will face scrutiny from my office to check they have taken appropriate steps to protect fundamental privacy rights,’ added Denham.

Start trading shares now with IG

IAG responds to impending ICO fine

IAG responded to the ICO fine in a statement. Alex Cruz, British Airways' chief executive officer (CEO), said that the airline responded quickly to the data breach and no customers’ bank accounts were directly impacted.

'We are surprised and disappointed in this initial finding from the ICO. British Airways responded quickly to a criminal act to steal customers’ data. We have found no evidence of fraud/fraudulent activity on accounts linked to the theft. We apologise to our customers for any inconvenience this event caused,’ said Cruz.

British Airways still has 28 days to appeal the decision. IAG chief executive officer (CEO), Willie Walsh, indicated that the corporation would appeal the fine.

'We intend to take all appropriate steps to defend the airline's position vigorously, including making any necessary appeals,' said Walsh.

Source: ProRealTime

Analysis of IAG fine

Gita Shivarattan, data protection counsel at the Ashurst law firm, noted that the impending fine against IAG shows how seriously the ICO takes the GDPR.

‘European data protection regulators are clearly ramping up fines for data breaches. It reflects the seriousness of the regulators where there is a significant breach of GDPR obligations,’ said Shivarattan.

The information on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG Bank S.A. accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer.

Act on share opportunities today

Go long or short on thousands of international stocks with CFDs.

  • Get full exposure for a comparatively small deposit
  • Trade on spreads from just 0.1%
  • Get greater order book visibility with direct market access

See opportunity on a stock?

Try a risk-free trade in your demo account, and see whether you’re on to something.

  • Log in to your demo
  • Take your position
  • See whether your hunch pays off

See opportunity on a stock?

Don’t miss your chance – upgrade to a live account to take advantage.

  • Trade a huge range of popular stocks
  • Analyse and deal seamlessly on fast, intuitive charts
  • See and react to breaking news in-platform

See opportunity on a stock?

Don’t miss your chance. Log in to take your position.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.