Data Protection and Digital Information (No. 2) Bill

Layla Moran Excerpts
2nd reading
Monday 17th April 2023

(1 year ago)

Commons Chamber
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Layla Moran Portrait Layla Moran (Oxford West and Abingdon) (LD)
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I start by echoing the well wishes to the Secretary of State on her imminent arrival. I am delighted to be here in my first outing as the Lib Dem spokesperson for science, innovation and technology, although in my mind I consider it as the spokesperson for proud geeks. I appreciate that is not a term everyone likes, but as a physics graduate and an MP for Oxford, where we have many fellow-minded geeks, I am proud to call myself that.

Much as this important Bill is geeky and technical—it sounds like it will be an interesting Bill Committee —it integrates into our whole lives. People have spoken about the potential and progress, and I agree to an extent with the comment from the hon. Member for Aberconwy (Robin Millar) about this being the new oil. However, in the context of climate change, there is a lesson for us there. Imagine that we knew then what we know now. We can already see that here. As new as some of these technologies are, and as new as some of these challenges may be, it does feel like, as legislators, we are constantly playing catch-up with this stuff.

We consult and we look, and we know what the problems are and what the issue fundamentally is, but I agree with the hon. Member for Cambridge (Daniel Zeichner) that we need a bit of vision here. I would argue that what we need is what my former colleague, the former Member for East Dunbartonshire, called for, which is a code of ethics for data and artificial intelligence. I sincerely hope that the Government, with the extra power to the elbow of the new Department, can put some real resource behind that—not in White Papers and thought, but in a proper bit of legislation that answers some of the questions raised earlier about the moral use, for example, of artificial intelligence in war.

Those are important questions. The problem and worry I have is that this Government and others will find themselves constantly on the back foot, unless we talk not just about the geekery and the technical bits—by the sounds of it, there are enough of us in the House who would enjoy doing that—but about the slightly loftier and more important ways that this Bill will connect with society.

In the digital first age, the Government themselves are encouraging those who want to access benefits and every other part of the state to do so digitally. If someone is to be a full citizen of the state, they are required often to give over their data. If someone does not want to engage with the digital realm, it is difficult for them to access the services to which they are entitled. Those are some of the big issues that encircle this Bill. It is fair to make that point on Second Reading, and I urge the Government, and especially the new Department, to give serious thought to how they will knit this all together, because it is incredibly important.

The Liberal Democrats have a few issues with the Bill. I associate myself with the remarks of the hon. Member for Bristol North West (Darren Jones), and in particular what he said in asking who is at the centre of the Bill, which is incredibly important. As liberals, we believe it should always be the citizen. Where there is a conflict of interest between the citizen, business and the state, in our view and in our political ideology, the citizen always comes top. I am not convinced that has been at the heart of the Bill at points. Citizens have been thought about, but were they at the centre of it at every stage? I am afraid that our ability as individuals to access, manipulate and decide who has our data has at various stages got lost.

The concerns we share with others are in four main areas: the Bill will undermine data rights; it will concentrate power with the Secretary of State—notwithstanding potential change in government, that is the sort of thing that Parliament needs to think about in the round, regardless of who is in power; the Bill will further complicate our relationship with Europe, as some have mentioned; and it sets a worrying precedent.

We need to understand where we start from. Only 30% of people in the UK trust that the Government use their data ethically. That means that 70% of people in the UK do not. Polls across the world have shown roughly the same thing. That is a huge level of mistrust, and we need to take it seriously. The Open Rights Group has described the Bill as part of a deregulatory race to the bottom, as the rights and safeguards of data subjects could be downgraded because of the changes proposed.

Clause 5 and schedule 1 to the Bill introduce a whole set of legitimate interests for processing data without consent and with few controls around their application. The Bill changes the definition of personal data, which would reduce the circumstances in which that information is protected. It reforms subject access requests, as others have said. We all run our own small businesses in our offices as MPs. We understand the burden placed on small businesses in particular, but it is absolutely the right of that individual to find out what is held on them in the way that subject access requests allow. If there is a conflict, it is the right of the individual that needs to be protected. The Government assess that the proposal would save about £82 a year—a price worth paying, given the number of consumers whom those businesses on average are looking after. There is an important hierarchy of user use that is not entirely captured by what the Government have been saying so far.

Big Brother Watch has said:

“The revised Data Protection and Digital Information Bill poses serious threats to Brits’ privacy. The Government are determined to tear up crucial privacy and data protection rights that protect the public from intrusive online surveillance and automated-decision making in high-risk areas. This bonfire of safeguards will allow all sorts of actors to harvest and exploit our data more than ever before. It is completely unacceptable to sacrifice the British public’s privacy and data protection rights on the false promise of convenience.”

I am deeply concerned that far from restoring confidence in data protection, the Bill sets a dangerous precedent for a future in which rights and safeguards are undermined. I have listened to what the Secretary of State has said at the Dispatch Box. I sincerely hope that those safeguards that the Government want to keep in place will remain in place, but we should be listening to those third-party groups that have scrutinised this Bill in some detail. There are legitimate concerns that need to be addressed.

My other concern is the concentration of power with the Secretary of State. As I have said before, while it would be lovely to think that all Secretaries of State and all Governments will all think the same on this and that we all have the same principles, my deep concern is that one day that will not happen. There is an important part for Parliament to play, especially when legislation is running behind what is happening in society, in raising the issues in real time. My worry is that by acting through secondary legislation, which we end up scrutinising less and less often, the Government do not have a mechanism for Parliament to feed in as society changes, which can be year-on-year. We need some way, whether through a Select Committee or whatever, to be able to keep pace with changes in society.

Finally, I want to talk about adequacy and in particular its loss being a real concern. I am pleased to hear that being raised on all sides in the House, which is a good sign, but I hope that this is not a case where little then gets changed in the Bill, as we have seen many times over. We could have it both ways: we can diverge from EU standards if we make the protection of the rights of the citizens stronger. Some who have mentioned divergence, however, have spoken about a weakening, which I worry will lead to a loss of adequacy.

In closing, will the Minister give a cast-iron guarantee to businesses that rely on it—and to our researchers who equally rely on it—that adequacy will not be watered down but will be one of the key tenets of how we move forward? Certainty for businesses and our researchers is incredibly important, and if there is any suggestion that changes in the Bill will affect that, they must be pulled immediately.

Data Protection and Digital Information Bill

Layla Moran Excerpts
Layla Moran Portrait Layla Moran (Oxford West and Abingdon) (LD)
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I am grateful to the Minister for giving way so early. Oxford West and Abingdon has a huge number of spin-offs and scientific businesses that have expressed concern that any material deviation on standards, particularly European Union data adequacy, would entangle them in more red tape, rather than remove it. He says he has spoken to industry leaders. Have he and his Department assessed the risk of any deviation? Is there any associated cost to businesses from any potential deviation? Who is going to bear that cost?

John Whittingdale Portrait Sir John Whittingdale
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I share the hon. Lady’s appreciation of the importance of data adequacy with the European Union. It is not the case that we have to replicate every aspect of GDPR to be assessed as adequate by the European Union for the purposes of data exchange. Indeed, a number of other countries have data adequacy, even though they do not have precisely the same framework of data protection legislation.

In drawing up the measures in the Bill, we have been very clear that we do not wish to put data adequacy at risk, and we are confident that nothing in the Bill does so. That is not only my view; it is the view of the expert witnesses who gave evidence in Committee. It is also the view of the Information Commissioner, who has been closely involved in all the measures before us today. I recognise the concern, but I do not believe it has any grounds.

Layla Moran Portrait Layla Moran
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The Minister says, “We do not wish”. Is that a guarantee from the Dispatch Box that there will be absolutely no deviation that causes a material difference for businesses on EU data adequacy? Can he give that guarantee?

John Whittingdale Portrait Sir John Whittingdale
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I can guarantee that there is nothing in the Government’s proposals that we believe puts data adequacy at risk. That is not just our view; it is the view of all those we have consulted, including the Information Commissioner. He was previously the information commissioner in New Zealand, which has its own data protection laws but is, nevertheless, recognised as adequate by the EU. He is very familiar with the process required to achieve and keep data adequacy, and it is his view, as well as ours, that the Bill achieves that objective.

We believe the Government amendments will strengthen the fundamental elements of the Bill and reflect the Government’s commitment to unleashing the power of data across our economy and society. I have already thanked all the external stakeholders who have worked with us to ensure that the Bill functions at its best. Taken together, we believe these amendments will benefit the economy by £10.6 billion over the next 10 years. That is more than double the estimated impact of the Bill when it was introduced in the spring.

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John Whittingdale Portrait Sir John Whittingdale
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I am happy to look at that, as the hon. Gentleman suggests. I hope the changes we are making to the Bill will provide greater legal certainty for MPs and others who undertake the processing of personal data for the purposes of democratic engagement.

The Bill starts and ends with reducing burdens on businesses and, above all, on small businesses, which account for over 99% of UK firms. In the future, organisations will need to keep records of their processing activities only when those activities are likely to result in a high risk to individuals. Some organisations have queried whether that means they will have to keep records in relation to all their activities if only some of their processing activities are high risk. That is not the Government’s intention. To maximise the benefits to business and other organisations, the amendments make it absolutely clear that organisations have to keep records only in relation to their high-risk processing activities.

The Online Safety Act 2023 took crucial steps to shield our children, and it is also important that we support grieving families who are seeking answers after tragic events where a child has taken their own life, by removing obstacles to accessing social media information that could be relevant to the coroner’s investigations.

Layla Moran Portrait Layla Moran
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We welcome such measures, but is the Minister aware of the case of Breck Bednar, who was groomed and then murdered? His family is campaigning not just for new clause 35 but for measures that go further. In that case, the coroner would have wanted access to Breck’s online life but, as it currently stands, new clause 35 does not provide what the family needs without a change to widen the scope of the amendment to the Online Safety Act. Will the Minister look at that? I think it will just require a tweak in some of the wording.

John Whittingdale Portrait Sir John Whittingdale
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I understand the concerns of the hon. Lady. We want to do all that we can to support the bereaved parents of children who have lost their lives. As it stands, the amendment will require Ofcom, following notification from a coroner, to issue information notices to specified providers of online services, requiring them to hold data they may have relating to a deceased child’s use of online services, in circumstances where the coroner suspects the child has taken their own life, which could later be required by a coroner as relevant to an inquest.

We will continue to work with bereaved families and Members of the other place who have raised concerns. During the passage of the Online Safety Act, my noble colleague Lord Parkinson of Whitley Bay made it clear that we are aware of the importance of data preservation to bereaved parents, coroners and others involved in investigations. It is very important that we get this right. I hear what the hon. Lady says and give her an assurance that we will continue to work across Government, with the Ministry of Justice and others, in ensuring that we do so.

The hon. Member for Rhondda made reference to proposed new schedule 1, relating to improving our ability to identify and tackle fraud in the welfare system. I am grateful for the support of the Minister for Disabled People, Health and Work, my hon. Friend the Member for Corby (Tom Pursglove). In 2022-23, the Department for Work and Pensions overpaid £8.3 billion in fraud and error. A major area of loss is the under-declaration of financial assets, which we cannot currently tackle through existing powers. Given the need to address the scale of fraud and error in the welfare system, we need to modernise and strengthen the legal framework, to allow the Department for Work and Pensions to keep pace with change and stand up to future fraud challenges.

As I indicated earlier, the fraud plan, published in 2022, contains a provision outlining the DWP’s intention to bring forward new powers that would boost access to data held by third parties. The amendment will enable the DWP to access data held by third parties at scale where the information signals potential fraud or error. That will allow the DWP to detect fraud and error more proactively and protect taxpayers’ money from falling into the hands of fraudsters.