Hackers could use encryption technology to launch new forms of attacks, one expert warns.

Anton Grashion, security strategist for EMEA warned that as the technology - designed to keep people data safe - become more widespread hackers could adapt it to pose new IT security threats, reports vnunet.com.

Speaking to industry figures in Barcelona, Mr Grashion, said: "If they can get malicious code onto your [PC] they can encrypt that machine and ask you for money to decrypt it".

This would mean that a firm would not be able to access their computer network and the data contained within until the encryption was removed.

Recently, the Gartner report found that 60 per cent of business owners thought their firm would go under if they were unable to access their computer systems for a week as they had not planned for such an eventuality.

According to a recent survey by Connect, the two biggest IT headaches for businesses were 'everyday hassles with IT' (37 per cent) and 'security concerns' (32 per cent).