UK MoD taps Australian cybersecurity startup Castlepoint after Afghan data breach

Britain's Ministry of Defence (MoD) has selected Australian firm Castlepoint Systems to provide services for automating data classification and reducing the risk of human error. The company is now headquartered in London.

The selection marks Castlepoint’s first UK contract and comes on the heels of growing concern over the risks of mishandled sensitive information, most notably the 2022 Afghan data breach, which exposed nearly 19,000 personal records and drew sharp public criticism.

“Securing this contract with the Ministry of Defence as our first UK account is a key milestone for Castlepoint, underscoring the critical importance of sophisticated data control for any organisation, not just national security,” said Rachael Greaves, CEO of Castlepoint Systems.

“The MoD faces a complex challenge in managing vast and sensitive datasets in the knowledge that even a single case of data leak or loss can be catastrophic. I’m pleased that after undertaking a very thorough global search, Castlepoint was selected by MoD as the best solution to solve this problem."

Castlepoint’s tech alleviates the reliance on manual data classification by personnel operating across high-stakes environments. Human error, particularly in labelling and handling unstructured data, has been cited as a weak link in national security.

In Castlepoint’s system, data such as emails, reports, and documents are automatically assessed and given the correct security marking at the point of creation, based on both content and context. Importantly, the system is explainable, providing traceable justifications for each classification decision, an essential feature in meeting the UK’s ethical and legal standards for AI deployment.

This contract signals Castlepoint’s formal entry into the UK and European markets, where demand for AI solutions in public sector data governance is intensifying.

The company is already established in Australia and New Zealand, where its technology is used by two-thirds of the Australian Federal Government.

“Castlepoint, with Explainable AI and true autoclassification at its core, can increase labelling accuracy and coverage without disrupting the essential work of MoD personnel,” Greaves said.

“We are a trusted technology provider for public-sector organisations and enterprises in Australia and New Zealand, and having now established our global headquarters in London, we look forward to delivering our proven solutions to many more organisations in the UK.”