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Ever because the UK left the European Union (EU), there was speak of reforming the info safety regime at present in existence within the UK, inherited from the EU. GDPR (General Data Protection Regulation) turned an acronym that induced angst amongst many within the run-up to its implementation and has continued to be considered as a “drawback” by some. Even some non-Brexiteers would in all probability be happy to see the again of it for the UK.
It’s, nevertheless, solely actually within the final 18 months that we now have seen any signal of tangible reform measures. The Information Safety and Digital Data Invoice that was introduced into Parliament in July of this year is the results of a significant session held by the Division for Digital, Tradition, Media and Sport (DCMS) final 12 months. The Invoice’s introduction for debate within the ultimate week earlier than summer season recess was a sign of how vital the federal government (because it was on the time) considered the UK knowledge safety regime.
Since that introduction, nevertheless, it has been a bit stop-start for knowledge safety reform within the UK. The Invoice had been scheduled for its second studying on 5 September, which, it turned out, was to be the day Liz Truss was formally elected Conservative Occasion chief. In a Enterprise Assertion that very same day, the federal government confirmed that the second studying wouldn’t happen as scheduled “with a purpose to enable ministers time to think about the Invoice additional”.
The Invoice has now moved to Committee Stage because the management election, so it’s again in progress, though the timeframe for its implementation, if certainly the draft stays in its present kind, is considerably unclear.
Additionally, there was extra uncertainty at the beginning of October when Michelle Donelan, the brand new secretary of state for digital, tradition, media and sport, mentioned knowledge safety in her speech at the Conservative Party conference, saying: “We shall be changing GDPR with our personal business- and consumer-friendly British knowledge safety system. Not will companies be shackled by numerous pointless crimson tape.”
Donelan additionally acknowledged that she could be working with companies to “co-design” the laws, which suggests a extra substantial “begin from scratch” method, fairly than a easy evaluation of the Invoice beforehand submitted.
The intention behind the Invoice, in its preliminary and present kind, was already to replace and simplify the UK knowledge safety framework with a purpose to “cut back burdens on organisations whereas nonetheless sustaining excessive knowledge safety requirements”. One may query why Donelan and her crew want additional time to “evaluation and rethink”. The concept was that the reform would symbolize “an evolution fairly than a revolution”. But, if the proposed Invoice stays in its present kind, that does appear to be the case.
However any extra large-scale adjustments or important departures from the GDPR danger jeopardising the UK’s adequacy with the EU. There’s a hazard that the “evaluation and reconsideration” referred to by Donelan will go additional and end in a regime that’s not “primarily equal” to that of the EU.
If that had been to be the case, we’d be going through extra of the “revolution” the earlier authorities had wished to keep away from. Whereas that will fulfill Brexiteers, eager to see stark adjustments marking the UK’s departure from the “shackles of the Union”, the fee to enterprise could be impactful – at a time when the financial system is already struggling.
One other fly within the ointment, so to talk, is the proposed adequacy evaluation by the UK of the brand new US Information Privateness Framework, a framework to securely ship UK knowledge to organisations within the US. In the identical week because the Conservative Occasion convention – the identical day, the truth is, that US president Biden signed the notorious Government Order – Donelan met with US secretary of commerce Gina Raimondo to debate “a variety of digital points”, with the UK’s adequacy evaluation of the US Information Privateness Framework being entrance and centre of the dialogue.
The federal government needs to be equally aware of any grand strikes to declare an adequacy resolution in favour of the US prematurely of the EU’s evaluation, the result of which is anticipated within the coming weeks.
If the EU authorities decide that the UK’s reform measures render its regime not “primarily equal”, the adequacy resolution falls away, as does the free movement of knowledge between the UK and the EU. Why are we so involved with the UK’s adequacy standing and free movement of knowledge, it’s possible you’ll ask. Effectively, the worth to the financial system is estimated at between £1bn and £1.6bn. It’s hardly stunning, due to this fact, that the authorities has admitted the fee to the financial system of dropping adequacy standing would outweigh any advantages of reform.
Curiously, though the UK’s adequacy resolution just isn’t scheduled for evaluation till 2024, rumours are circulating that Brussels’ lawmakers are coming to London in November to scrutinise the proposed UK knowledge reforms and their impact on UK adequacy. The chance is actual – and the UK authorities needs to be alert to it.
Sarah Pearce is a accomplice and UK head of knowledge privateness at Hunton Andrews Kurth. She has intensive expertise of working with massive tech firms and serving to them handle world privateness and knowledge safety dangers and compliance points.
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