Canadian Cybersecurity Threat Landscape 2026 | Part 2 of 10
Phishing in 2026
If ransomware is the attack that shuts your business down, phishing is the one that quietly opens the door.
And it works far more often than most business owners realize.
In fact, phishing isn’t just one of the most common cyber threats facing Canadian SMBs, it’s often the starting point for everything else. One click on the wrong email, one reply to the wrong message, and suddenly attackers have access to your systems, your data, or your money.
This is Part 2 of our 10-part series based on our Canadian Cybersecurity Threat Landscape 2026 report. If you missed Part 1 on ransomware, it’s worth a read. Because in many cases, phishing is exactly how those ransomware attacks begin.
Let’s break it down.
What Is Phishing, Exactly?
Phishing is a type of cyber attack where criminals trick people into giving up sensitive information like passwords, banking details, or access to systems.
They do this by pretending to be someone you trust.
That might be:
• A supplier sending an invoice
• Your bank asking you to “verify” something
• A colleague requesting a quick login
• Even your CEO asking for an urgent payment
These messages can come through email, text (smishing), or phone calls.
And they’re getting very convincing.
According to recent data, 61% of small and medium-sized businesses have experienced a phishing attempt via email, and all it takes is one person clicking the wrong link to compromise your network.
The Numbers Don’t Lie
Phishing isn’t slowing down. It’s accelerating.
Globally, it’s now one of the most common entry points for cyberattacks, and in Canada, it continues to target small businesses at scale. In fact, phishing is widely recognized as one of the most common cyber attacks affecting Canadian businesses.
What’s more concerning is that:
• The human element is involved in 74% of breaches
• Business Email Compromise (BEC) attacks now make up over 50% of social engineering incidents
That means attackers aren’t just hacking systems. They’re hacking people.
And small teams, where employees wear multiple hats and move quickly, are especially vulnerable.
REDUCE YOUR PHISHING RISK
Phishing attacks rely on human error. The right systems and training reduce that risk dramatically. See how our managed IT and cybersecurity services help Canadian SMBs stay protected.
Learn MoreIt Happened Right Here in Ontario
A real-world example makes this hit home.
The City of Burlington fell victim to a phishing-based Business Email Compromise scam. An employee received what appeared to be a legitimate request to change banking information for an existing vendor.
They processed the change.
The result? Over $500,000 was transferred to a fraudulent account before the issue was caught.
Most of the funds were eventually recovered, but the incident highlights something important:
There was no malware. No sophisticated hacking.
In fact, the city confirmed its systems were not compromised and no data was stolen.
Just a convincing email at the wrong moment.
We’ve seen similar close calls across Mississauga, Oakville, Brampton, and the surrounding areas. The scale might be smaller, but the impact is just as real.
Why It’s Getting Worse in 2026
Phishing used to be easier to spot.
Poor grammar. Strange formatting. Obvious red flags.
That’s no longer the case.
Today’s phishing attacks are powered by AI, which means:
• Emails are written in perfect, natural language
• Messages are tailored using real information from LinkedIn or company websites
• Attackers can impersonate voices using deepfake technology
• Campaigns can be sent at massive scale or highly targeted to specific individuals
In one recent case, criminals used AI-generated voice cloning to impersonate a CEO and request a fund transfer. It nearly worked.
Therefore, phishing is no longer a “spray and pray” tactic. It’s precise. Personal. And increasingly hard to detect.
What You Can Do About It Today
The good news is that phishing is preventable, if you put the right habits and safeguards in place.
Here are five practical steps every small business should be taking right now:
• Verify financial requests, every time.
Any request involving money, banking changes, or sensitive data should be confirmed through a second channel. Pick up the phone. Call a known contact. This one step alone can stop most BEC scams.
• Use email security tools.
Modern spam filters and anti-phishing tools can catch a large percentage of malicious emails before they reach your team. Many solutions now use AI to detect suspicious patterns.
• Slow down and question urgency.
Phishing relies on pressure. “Urgent.” “Act now.” “Final notice.” Train your team to pause, check the sender, and hover over links before clicking.
• Create a culture of reporting.
Make it easy, and safe, for employees to flag suspicious emails. The faster something is reported, the faster it can be contained.
• Train your team regularly.
Your employees are your first line of defence. Ongoing phishing awareness training (not just once a year) keeps security top of mind and reduces risk significantly.
Final Thought
It Only Takes One Click
Phishing doesn’t require sophisticated hacking tools. It doesn’t need a system vulnerability.
It just needs a moment of trust.
And that’s why it remains one of the most effective attack methods in 2026.
At AYS Technologies, we help small businesses across Mississauga, Milton, Oakville, Brampton, Georgetown, Guelph, and surrounding areas put the right protections in place, from email security to employee training and proactive monitoring.
If you’re not sure how vulnerable your business is to phishing, we offer a free security assessment to identify the gaps and help you close them.
Reach out to us at info@ayscanada.com or call 1-866-410-6867.
WANT THE FULL PICTURE?
This is just Part 2. Get the complete breakdown of the top 10 cyber threats facing Canadian SMBs in 2026 and the practical steps to address them.
Access the Full ReportComing up next: Part 3 – Insider Threats: The Enemy Within.
We’ll look at how risks from inside your business, whether accidental or intentional, can expose sensitive data, and what you can do to stay protected.