King’s Speech: Data Protection Reform?

As announced in the King’s Speech on 17 July, the government has introduced a new Digital Information and Smart Data Bill (“New Bill”), which is designed to work alongside the UK’s existing privacy framework rather than introducing landmark reform. 

This New Bill draws from aspects of the previously proposed Data Protection and Digital Information Bill (No.2) (“Old Bill”), which was abandoned as a consequence of the general election, however the extent of the similarities and differences are yet to be seen. The primary aim of the New Bill is to leverage the power of data to spur economic growth, support a modern digital government and improve people’s lives by placing certain innovative uses of data on a statutory footing to accelerate innovation, investment, and productivity across the UK. We do not yet have specific details about how the government will achieve these aims, but from the information provided so far the government suggests it will achieve this through: 

1. Establishing Digital Verification Services: building on the Old Bill, this initiative aims to make people’s lives easier through the creation and adoption of secure digital identity products and services from certified providers to help with things like moving house, pre-employment checks, and buying age restricted products. 
2. Implementing Smart Data Schemes: these schemes will facilitate the secure sharing of customer data with authorised third parties upon a customer’s request. This system, akin to the successful Open Banking regime, is designed to stimulate economic growth by enriching customer data with broader contextual business data.
3. Setting up a National Underground Asset Register: this is a digital map that will streamline the installation, maintenance, and operation of underground pipes and cables through secure, standardised data access.

Additional provisions of the New Bill will focus on improving digital public services (such as by making changes to the Digital Economy Act to help the government share data about businesses that use public services), helping scientists and researchers to make more life enhancing discoveries and restructuring the ICO to grant it stronger powers. 

There are also targeted reforms to some areas of data protection laws, but sweeping changes appear unlikely. This may be to avoid departing too far from established EU data protection standards, to maintain the UK's EU adequacy status (which is due for review in June 2025). This allows the free flow of personal data from the EU to the UK which is critical for many businesses’ everyday operations. The government's intent to "reset the relationship with European partners" suggests a cautious approach to significant data protection law reforms.

For more information, please contact our privacy & data team.