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Tim Wickes, chief executive of policy management software supplier Zequel, said many UK SMEs are unaware of IT-related regulations, such as the EC Directive on Waste Electrical and Electronic Equipment, which will come into force later this year.
Many SMEs are also unaware of best practice in data management and business continuity, he added.
"In the case of some SMEs, they are either ignorant when it comes to the increasing enforcement of government regulations and compliance requirements, or living in the vain hope that, by burying their heads in the sand and doing nothing, it will pass them by," said Wickes.
Wickes said IT systems could help SMEs keep track with compliance regulations and also make sure employees are given the right information about health regulations.