On 20 January 2026, the European Commission published a proposal to amend the Directive (EU) 2022/2555 (NIS2) as part of a broader package to streamline the EU’s cybersecurity framework. The Commission also issued a proposal to revise the EU Cybersecurity Act (CSA2), which we cover in a separate blog post.

The proposed amendments build on earlier streamlining efforts in the Commission’s Digital Omnibus Package—published on 19 November 2025—which introduced the first wave of technical adjustments to NIS2. Those earlier amendments focused on creating a single framework for reporting cyber incidents and clarifying how NIS2 interacts with sectoral regimes such as the CER Directive and DORA.

With this proposal, the Commission now aims to clarify the scope of the law, harmonize technical measures, introduce certification‑based compliance pathways, and strengthen cross‑border supervision through an expanded role for ENISA.

Below, we summarize the main elements of the proposal and what they could mean for entities in scope of NIS2.

1. Greater Harmonization of Technical Requirements

NIS2 is a minimum‑harmonization directive, allowing Member States to “gold-plate” the substantive requirements set out in the law. As a result, some Member States have introduced additional obligations, such as Belgium’s requirement for a coordinated vulnerability disclosure policy.

NIS2 already requires the Commission to adopt an implementing act setting out the measures that certain digital infrastructure and digital service providers must comply with, and allows it to adopt similar acts for other covered entities. The proposal would broaden the Commission’s role by requiring regular assessments and consultations on whether additional implementing acts are needed for entities that operate in other sectors covered by NIS2. Crucially, where the Commission adopts such acts, Member States would be prevented from adding any further technical, methodological, or sector‑specific requirements.

2. New Ransomware Reporting Rules

The Commission already has the power under NIS2 to pass implementing acts that establish the format and procedure for incident notifications and define when certain incidents count as significant (it has not yet exercised this power). Under the proposal, any such implementing act would need to require companies to report additional facts for incidents arising from ransomware attacks, including whether they detected an attack, the attack vector, and whether mitigation measures have been implemented.

The proposal also gives national authorities the power to request additional information when a reported significant incident is caused by ransomware. This includes information about whether a ransom demand was made and by whom, whether a ransom was paid, the amount, the payment method, the recipient or receiving end, and, where relevant, information about any crypto‑assets or crypto‑asset service providers involved.

3. New Rules on EU‑Level Cybersecurity Certification

NIS2 provides that Member States can require essential and important entities to use ICT products and services certified under EU cybersecurity schemes created under the Cybersecurity Act. Under the proposed new text, Member States could require entities to obtain a “cyber‑posture certificate”—an entity-level certification rather than a product- or service-level certification—issued under a future European cybersecurity certification scheme to be adopted pursuant to the proposed CSA2.

Where an entity has obtained a valid EU cyber‑posture certificate under a scheme adopted pursuant to Article 74 CSA2, and the certificate demonstrates compliance with the NIS2 security risk‑management requirements in Article 21 (as specified in an implementing act under Article 21(5) or national transposition), competent authorities may not subject the entity to additional security audits pursuant to Article 32(2)(b) (essential entities) or Article 33(2)(b) (important entities) for the requirements covered by the certificate. Other supervisory tools under Articles 32 and 33 (e.g., on‑site inspections, security scans, or targeted information requests) remain available. Recital 7 notes this amendment is designed to enable relevant entities to benefit from more coherent and less burdensome supervisory approaches across the internal market. For example, Belgium’s transposition law includes rules requiring entities to obtain a specific certification, but in the future, if a company has obtained an EU cyber‑posture certificate, this could reduce or eliminate the need for any Belgian‑specific certification to the extent it would otherwise duplicate the requirements already covered by the EU certificate.

4. More Coordinated EU Oversight of Cross‑Border Entities

The proposal would give ENISA a more operational role in supervising companies engaged in covered activities across several Member States. In particular, ENISA would support national authorities by facilitating cooperation, helping determine a lead authority for joint actions, and reducing duplicative supervisory requests. It would also prepare a cybersecurity risk analysis within 15 months of entry into force, to assess the impact that incidents affecting entities that provide cross-border services would have on the internal market.  Based on the risk assessment, ENISA can recommend joint supervisory activity by multiple competent authorities, which ENISA may participate in directly, upon request.

Importantly, this does not create a GDPR‑style one‑stop‑shop for entities not covered by the NIS2 equivalent in Article 26. Companies would also continue to report incidents and address potential non‑compliance through their national competent authorities, not ENISA.

5. Clarifying Scope and Size‑Related Adjustments

The proposal introduces a new category of covered entities: “small mid-caps.” This covers entities with fewer than 750 employees and less than €150 million in annual turnover. To the extent that these types of organizations otherwise fall within scope of NIS2, they would generally be treated as important entities (and therefore subject only to ex post regulation). We understand that the Parliament is considering options to expand the category to organizations with well above 750 employees.

The proposal also would clarify several sector definitions in the Annexes. For instance, whereas Annex II previously covered the manufacture, production and distribution of chemicals, the proposal removes “distribution,” thereby narrowing the scope to entities engaged specifically in chemical manufacturing and production activities. In addition, DNS providers would no longer fall within scope automatically unless they meet the standard NIS2 size thresholds

6. New Rules on EU Representatives

NIS2 already obliges digital service providers to appoint an EU representative if they are not established in the EU but offer services within it. Those entities fall under the jurisdiction of the Member State where the representative is established.

The proposal would expand the requirement to appoint a representative, so that it applies to any “essential or important entity” not established in the Union but offering services within it. The wording here is unclear and hopefully the scope will be clarified during the legislative process.

Next Steps

The proposal will now proceed through the ordinary legislative procedure, with negotiations in the European Parliament and Council expected later in 2026. The current draft foresees a 12‑month transposition period following the Directive’s entry into force, although this may be amended during the legislative negotiations.

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Covington’s Privacy and Cybersecurity team will continue to monitor developments as trilogue negotiations unfold and implementation guidance becomes available. If you would like assistance assessing how these proposed changes may affect your organization, updating your NIS2 compliance strategy, or preparing internal briefings, please let us know.

Photo of Mark Young Mark Young

Mark Young is an experienced tech regulatory lawyer and a vice-chair of Covington’s Data Privacy and Cybersecurity Practice Group. He advises major global companies on their most challenging data privacy compliance matters and investigations. Mark also leads on EMEA cybersecurity matters at the…

Mark Young is an experienced tech regulatory lawyer and a vice-chair of Covington’s Data Privacy and Cybersecurity Practice Group. He advises major global companies on their most challenging data privacy compliance matters and investigations. Mark also leads on EMEA cybersecurity matters at the firm. In these contexts, he has worked closely with some of the world’s leading technology and life sciences companies and other multinationals.

Mark has been recognized for several years in Chambers UK as “a trusted adviser – practical, results-oriented and an expert in the field;” “fast, thorough and responsive;” “extremely pragmatic in advice on risk;” “provides thoughtful, strategic guidance and is a pleasure to work with;” has “great insight into the regulators;” and “is technologically sophisticated and advises on true issues of first impression, particularly in the field of AI.”

Drawing on over 20 years of experience, Mark specializes in:

Providing practical guidance and advising on potential exposure under GDPR and international data privacy laws in relation to innovative products and services.
Handling complex regulatory investigations and enforcement actions involving data privacy regulators in the UK, EU and globally, and advising on follow-on litigation risk.
Helping clients respond to cybersecurity incidents, including ransomware, supply chain incidents, state-sponsored attacks, insider threats, personal data breaches, and IP and trade secret theft.
Advising various clients on the EU NIS2 Directive, Cyber Resilience Act (CRA), and other emerging EU, UK, and global cybersecurity laws and regulations.
Advising life sciences companies on industry-specific data privacy issues, including clinical trials, pharmacovigilance, and digital health products and services.
Advising on data privacy compliance in relation to employees and international transfers of data in connection with white collar investigations.
Providing strategic advice and advocacy on a range of UK and EU technology law reform issues relating to data privacy, cybersecurity, eIDs, and software.
Representing clients in connection with references to the Court of Justice of the EU.

Photo of Dan Cooper Dan Cooper

Daniel Cooper is co-chair of Covington’s Data Privacy and Cyber Security Practice, and advises clients on information technology regulatory and policy issues, particularly data protection, consumer protection, AI, and data security matters. He has over 20 years of experience in the field, representing…

Daniel Cooper is co-chair of Covington’s Data Privacy and Cyber Security Practice, and advises clients on information technology regulatory and policy issues, particularly data protection, consumer protection, AI, and data security matters. He has over 20 years of experience in the field, representing clients in regulatory proceedings before privacy authorities in Europe and counseling them on their global compliance and government affairs strategies. Dan regularly lectures on the topic, and was instrumental in drafting the privacy standards applied in professional sport.

According to Chambers UK, his “level of expertise is second to none, but it’s also equally paired with a keen understanding of our business and direction.” It was noted that “he is very good at calibrating and helping to gauge risk.”

Dan is qualified to practice law in the United States, the United Kingdom, Ireland and Belgium. He has also been appointed to the advisory and expert boards of privacy NGOs and agencies, such as the IAPP’s European Advisory Board, Privacy International and the European security agency, ENISA.

Photo of Paul Maynard Paul Maynard

Paul Maynard is special counsel in the technology regulatory group in the London office. He focuses on advising clients on all aspects of UK and European privacy and cybersecurity law relating to complex and innovative technologies such as adtech, cloud computing and online…

Paul Maynard is special counsel in the technology regulatory group in the London office. He focuses on advising clients on all aspects of UK and European privacy and cybersecurity law relating to complex and innovative technologies such as adtech, cloud computing and online platforms. He also advises clients on how to respond to law enforcement demands, particularly where such demands are made across borders.

Paul advises emerging and established companies in various sectors, including online retail, software and education technology. His practice covers advice on new legislative proposals, for example on e-privacy and cross-border law enforcement access to data; advice on existing but rapidly-changing rules, such the GDPR and cross-border data transfer rules; and on regulatory investigations in cases of alleged non-compliance, including in relation to online advertising and cybersecurity.

Photo of Anna Sophia Oberschelp de Meneses Anna Sophia Oberschelp de Meneses

Anna Sophia Oberschelp de Meneses is special counsel in the Data Privacy and Cybersecurity Practice Group.

Anna is a qualified Portuguese lawyer, but is both a native Portuguese and German speaker.

Anna advises companies on European data protection law and helps clients coordinate…

Anna Sophia Oberschelp de Meneses is special counsel in the Data Privacy and Cybersecurity Practice Group.

Anna is a qualified Portuguese lawyer, but is both a native Portuguese and German speaker.

Anna advises companies on European data protection law and helps clients coordinate international data protection law projects.

She has obtained a certificate for “corporate data protection officer” by the German Association for Data Protection and Data Security (“Gesellschaft für Datenschutz und Datensicherheit e.V.”). She is also Certified Information Privacy Professional Europe (CIPPE/EU) by the International Association of Privacy Professionals (IAPP).

Anna also advises companies in the field of EU consumer law and has been closely tracking the developments in this area.

Her extensive language skills allow her to monitor developments and help clients tackle EU Data Privacy, Cybersecurity and Consumer Law issues in various EU and ROW jurisdictions.

Photo of David Brazil David Brazil

David Brazil is an associate in the Data Privacy and Cybersecurity Practice Group. He advises clients on emerging European regulations related to technology, consumer protection and cybersecurity law (such as the Digital Services Act, AI Act, DORA, Cyber Resilience Act and NIS-2). David…

David Brazil is an associate in the Data Privacy and Cybersecurity Practice Group. He advises clients on emerging European regulations related to technology, consumer protection and cybersecurity law (such as the Digital Services Act, AI Act, DORA, Cyber Resilience Act and NIS-2). David has experience advising clients on their general compliance with these rules, as well as in the context of regulatory investigations for alleged non-compliance. He has experience advising companies in various sectors, including online retail, financial services and software and cloud service providers.