The UK's Digital Information and Smart Data Bill

The question

What can we expect from the new Digital Information and Smart Data Bill (the DISD Bill)?

The key takeaway

The Labour Government's DISD Bill seeks to create modern legal frameworks around the use of data to enhance opportunities for businesses and consumers alike. It will introduce several changes to data protection ranging from reforms to existing data laws which the Government considers lack clarity, to expanding the powers of the Information Commissioner's Office (ICO).

The background

The 2024 King's Speech announced the new Labour government's DISD Bill. This followed the former Conservative Government failing to pass the Data Protection and Digital Information Bill (the DPDI Bill) in the wash-up period before the dissolution of Parliament. The DPDI Bill sought to amend the UK GDPR and Data Protection Act 2018 by encouraging innovation, and reducing the burden on businesses to comply with legislation (see here for our previous discussion on the DPDI Bill).

The development

The newly announced DISD Bill seeks to "harness the power of data for economic growth, to support a modern digital government, and to improve people’s lives", as stated in the King's Speech.

To achieve these aims, the DISD Bill proposes a number of key changes including:

• Digital Verification Services to create secure technology that can be used in digital identity products and services, such as for pre-employment checks and buying age restricted goods;
• establishing Smart Data schemes, 'Smart Data' being the "secure sharing of customer data, upon the customer’s (business or consumer) request, with authorised third-party providers (ATPs)";
• modernising the ICO by expanding and strengthening its powers; and
• targeted reforms to data laws which currently lack clarity with the aim of ensuring high levels of data protection.

While the DISD Bill and the above proposals were announced in the King's Speech, exact details have not yet been published. It is likely that primary legislation will be prepared in the coming months.

Why is this important?

While full details of the Bill are yet to be seen, the aims and changes proposed by the DISD Bill demonstrate the Government's focus on using data as a tool for economic growth. The Labour Government appears committed to harnessing the full powers of technology, and the DISD Bill highlights that even though the former Conservative Government's DPDI Bill did not pass the wash-up period, data protection remains a key area of focus to the new Labour Government.

Any practical tips?

Once further information around the DISD Bill is published, organisations should review the details to understand how it may impact the business and its operations. They should then follow and track the progress of the Bill through the Parliamentary process and start preparing for the Bill's implementation.

Autumn 2024