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Edition: U.S. Article Comments (0) Technology Netflix hits fans with price hike Amazon to offer cheaper Kindle, sponsored by AT&T Samsung, HTC to show big Q2 cellphone gains EA buying PopCap Games for up to $1.3 billion Facebook allows police searches Google costs in focus after busy quarter SAP seeks to cut $1.3 billion Oracle verdict RIM deflects criticism at annual meeting More technology news Follow Reuters Facebook Twitter RSS YouTube Read RPT-UPDATE 2-European summit needs to be game-changer - Irish PM 8:33am EDT California woman accused of slicing off husband's penis 12 Jul 2011 Q+A: The impact of Ahmad Wali Karzai's death 8:28am EDT Murdoch, savaged in parliament, pulls BSkyB bid | 10:31am EDT Obama 2012 campaign breaks goal, records 11:23am EDT Discussed 116 Obama, lawmakers meet for 75 minutes on debt impasse 96 WRAPUP 1-Taxes still a stumbling block in U.S. debt talks 94 Obama and lawmakers regroup to seek debt deal Watched A Tokyo-Paris flight in under three hours on the horizon Fri, Jun 24 2011 Hefner's revenge; Ryan Reynolds stops traffic Fri, Jun 17 2011 Schwarzenegger to start film, Jewel has baby 8:39am EDT UK spies losing Web experts to private sector: report Tweet Share this Email Print Related News British government tries to halt Murdoch Sky bid Tue, Jul 12 2011 Brown a hacking target as Murdoch delays BSkyB bid Mon, Jul 11 2011 As ex-aide arrested, pressured Cameron vows media reform Fri, Jul 8 2011 Hack job! Murdoch axes paper to save deal Thu, Jul 7 2011 EU slams ratings agencies after Portugal downgraded Wed, Jul 6 2011 Analysis & Opinion Tech wrap: New effort underway in Internet piracy fight America’s problematic remote control wars Related Topics Technology » Media » By William Maclean LONDON | Wed Jul 13, 2011 11:24am EDT LONDON (Reuters) - British intelligence eavesdroppers are suffering a steady loss of Internet experts to the private sector because the likes of Google and Microsoft offer much higher wages, a group of lawmakers said on Wednesday. The Intelligence and Security Committee, a group of MPs that monitors the work of British intelligence, said it was concerned that a cut in real terms of 11 percent in funding over the next four years for its three main agencies could harm their work. In an annual report, the committee quoted the head of the signals intercept agency, the Government Communications Headquarters (GCHQ), as saying his organization was losing "whizzes," or very able performers, to better-paying employers. "I need some real internet whizzes in order to do cyber and I am not even sure they are even on the contractor market, so I need to work on that. They will be working for Microsoft or Google or Amazon or whoever," the director, Iain Lobban, was quoted as saying in evidence to the committee. "And I can't compete with their salaries; I can offer them a fantastic mission, but I can't compete with their salaries. But I probably have to do better than I am doing at the moment, or else my internet whizzes are not going to stay ... and we do have a steady drip, I am afraid." "THREE TIMES THE SALARY" "Month-on-month, we are losing whizzes who'll basically say: 'I'm sorry, I am going to take three times the salary and the car and whatever else'." The Committee, which reports not to parliament but to Prime Minister David Cameron, said the Single Intelligence Account that funds the three agencies had risen from about 800 million pounds ($1.28 billion) to 2 billion in cash terms in the past decade. But for the four-year period from April 2011 spending was going to be kept level, implying an 11.3 percent reduction in budgets in real terms over that period because of inflation. This "will inevitably have an impact on the ability of all three Agencies to maintain current levels of coverage of all aspects of the threat, and that this may worsen if inflation remains at its current levels. This will require tough decisions in the coming years." As well as GCHQ, the committee reviews the Secret Intelligence Service, the SIS or MI6, which spies overseas, and the Security Service, known as MI5, which is responsible for domestic intelligence and security. GCHQ, which snoops on electronic communications, helps defend Britain's cyber security and develops an offensive cyber ability, had 5,675 employees, the report said. Lobban said in Oct 2010 in a rare speech that countries were already using cyber warfare techniques against each other and needed constant vigilance to protect computer systems. British government systems were targeted 1,000 times each month. The report said GCHQ's work on cyber security included the protecting Britain's cyber infrastructure, detecting and analyzing electronic attacks on British interests, intelligence gathering and developing a military cyber capability for the UK. ($1 = 0.624 British Pounds) (Editing by Jon Hemming) Technology Media Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above. 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