Data (Use and Access) Bill [Lords]

Peter Kyle Excerpts

2nd reading
Wednesday 12th February 2025 Commons Chamber

[The Secretary of State for Science, Innovation and Technology (Peter Kyle)]

I beg to move. That the Bill be now read a Second time.

The Government are using technology to grow the economy and create new jobs in order to empower citizens and deliver a smaller, smarter state, but none of that is possible without data. Successive Governments failed to set out the extraordinary opportunity that data presents. Our citizens have counted the cost in slower growth, fewer jobs and flatlining productivity; in communities that feel less safe because police officers are spending more time filling in forms and less time out on the streets, where we need them; in hospitals, where patients are left waiting longer for the care that they so desperately need; and when people queue up to register the death of a loved one, or struggle to rent new homes without the decades-old documents that they need to prove their identity. An outdated approach to data is holding Britain’s economy back. This Bill will take the brakes off, unleashing a new era of wealth and opportunity for all.

[Sir John Whittingdale (Maldon) (Con)]

The Secretary of State says that successive Governments failed to act, but is it not the case that this Bill is almost identical to the one that the last Conservative Government introduced, which very nearly made it on to the statute book?

[Peter Kyle]

I am grateful to the right hon. Gentleman for pointing that out. Indeed, a lot of this Bill is based on the one that his Government introduced. They called a general election, which halted it in its tracks. We offered to get that Bill through in wash-up, but that was turned down by the Government. We are here today to discuss a Bill that his Government could well have got through; of course, they had 14 years to do so. I am grateful to him for pointing that out, and for no doubt supporting a Bill for which he claims so much credit.

The smart data measures in the Bill could make switching energy suppliers as quick and easy as switching bank accounts. Consumers will be able to compare utility prices and find better deals, putting money in their pockets. Businesses will be forced to innovate and improve their services, too. Fast-growing firms will also benefit from the digital verification services that this Bill enables. Today, people spend months waiting to get paperwork sorted for a new job. By helping people to prove who they are without physical documents, we will cut the time it takes to get on the payroll, and give businesses the freedom to get on with growth.

One of the biggest barriers to growth is the appalling state of Britain’s crumbling infrastructure. Today, streets are being endlessly dug up and re-dug up by different firms repairing gas one year and water the next. At the same time, bigger infrastructure projects have stalled and fallen silent for years. By offering a complete and accurate picture of the underground infrastructure, the national underground asset register will strengthen Britain’s building bureaucracy. It will cut the time it takes for workers on site to get the data they need from six days to six seconds. That means that they will be able to get on with building the roads, railways and homes that Britain so desperately needs.

Today, a siloed approach to data is slowing the state down. Patients are put through the same tests again and again, and prescription errors mean that they get the wrong medication. This is simply unacceptable. The NHS has one of the deepest, most diverse datasets in the world, but the people who need that data cannot access it. By introducing mandatory information standards for all information technology suppliers, this Bill will ensure that information can flow safely, securely and seamlessly through the healthcare system.

[Chris Vince (Harlow) (Lab/Co-op)]

Can the Secretary of State outline the benefits that this Bill will have for my constituents in Harlow? I am thinking in particular of residents with multiple prescriptions who struggle to quickly have the data at their fingertips.

[Peter Kyle]

My hon. Friend is championing his constituents, and I am pleased to inform him that the Bill will deliver much more streamlined access to the healthcare system, from primary care right the way through to hospitals, where information should flow freely, not just because of the incentives being put in place but the actual requirements. Of course, when patients travel to their GP or to hospital, they will be able to count on far less disruption on the pavements and in the streets, simply because of the underground asset register. Those are just two examples of how this Bill will benefit his constituents.

The Bill will make it easier to introduce transformative new technologies such as artificial intelligence. It will reduce duplication and error, and save our doctors and nurses time so that they can focus on the patients who need them the most. The same goes for the police officers keeping our country safe: the measures proposed in this Bill will save them 1.5 million hours every single year.

Engaging with the state today takes time and effort, but I see no reason why it should. I created the new Government Digital Service to deliver efficient, convenient digital public services that are shaped around citizens’ lives. This Bill will bolster those efforts.

[Sir Ashley Fox (Bridgwater) (Con)]

Open banking benefits 12 million customers every year by allowing them access to their data. It has been a great success. Does the Secretary of State see that as a model for how citizens can access their data held by the state?

[Peter Kyle]

Smart data underpins the service that the hon. Gentleman refers to. We see boundless opportunities for smart data to be applied in new ways, and the Bill before us will unlock some of those opportunities. I am grateful to him for getting that on the record.

An electronic register of births and deaths will make life that little bit easier for a new parent or those who have lost a loved one. However—

[Amanda Martin (Portsmouth North) (Lab)]

Some of my constituents have raised concerns about how their information will be kept safely in the online register of births and deaths. How will the Secretary of State ensure that the Government keep such information safely?

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[Peter Kyle]

It is imperative that we reassure people up and down the country that their data will be used safely and wisely, and that they will always remain in control of how their data is used. I can give my hon. Friend those reassurances. The House will notice that this Government have acted with transparency when it comes to informing the public how data and the algorithms that process that data are being used. Just last week I released more algorithms for public scrutiny, so that they can be put into the algorithm playbook that we have released. From Department to Department, more of those algorithms will be made available as our resources allow. That is just one example of how we are using transparency to earn the public’s trust. In the year before the general election, just one Department released an algorithm for public scrutiny.

[Sir Jeremy Wright (Kenilworth and Southam) (Con)]

There is a great deal in this Bill that we can all support, but some difficult concepts lurk within it, as I know the Secretary of State will recognise. He is talking about data transparency. One of the issues of concern is about precisely what we mean by the “scientific research” on which data may be employed, and precisely what we mean by “the public interest” that must be served by that scientific research. We will not examine this issue on Second Reading, but may I ask him to commit to a proper examination of those concepts as the Bill moves forward, so that we can all understand what we mean and the public can get the reassurance that he describes?

[Peter Kyle]

I am grateful to the right hon. Gentleman for his informed intervention. I can assure him that we take this issue very seriously. I can also assure him that this is one of the issues on which we will go into considerable depth in Committee, and I am sure that his Whips are hearing of his interest in getting on to that Committee. He is clearly volunteering to put in the hard yards to make sure that we get the Bill right.

None of the things that I have outlined will succeed without trust. People will not use technology unless they are confident that it is being used safely, but we often lack the rigorous evidence that we need to take decisions about the safety of our rapidly changing online world. The provisions in this Bill will allow researchers to access data held by platforms, enabling them to conduct robust independent research into online safety. I am grateful to peers for their dedication in rigorously scrutinising these measures. We have listened closely, and in response we have made some important changes to the Bill. First, we have brought forward measures to strengthen data protection for children. Information society service providers likely to be accessed by children will now have clear legal duties to consider how best to protect and support children when designing their data-processing activities.

Secondly, we have added a provision to help charities use email to engage with people who have previously supported their charitable purposes. Thirdly, we have committed to making it easier for people to navigate data protection measures in a world transformed by technology. In two rapidly growing sectors—automated decision making and edtech—we will ask the Information Commissioner’s Office to publish codes of practice to give people the knowledge and confidence they need to use personal data legally.

[Rebecca Long Bailey (Salford) (Lab)]

The Secretary of State will be aware that clause 80 removes the existing right of individuals not to be subjected to solely automated decision-making processes unless it involves a category of special data. In practice, this might mean that journalists could have their data processed through ADM, which could pose significant risks to their sources. What reassurance can he give me that these concerns will be explored and assessed as the Bill passes through the House?

[Peter Kyle]

The Bill improves the automated decision-making process, but individual attributes and sectors will be impacted and we will of course take that into consideration in Committee, where I am sure that issue will be raised. I am grateful to my hon. Friend for putting it on record on Second Reading.

Peers also added several measures during the Bill’s Report stage. First, Baroness Owen ran an admirable campaign to outlaw the creation of intimate images and deepfakes. This horrific form of online abuse has a devastating impact on its victims. The Government will work with Baroness Owen to ensure that the drafting of intimate image abuse measures in Committee keeps women and girls safe. Secondly, my Ministers will work with Opposition Members to explore the possibility of new security guidance for users of the national underground asset register, as proposed by Viscount Camrose. I am confident that we will find a solution that is satisfactory to all.

Thirdly, Viscount Colville added a public interest test for scientific researchers seeking to use clause 67 to process personal data. However, expecting scientists to define the outcomes of their work in advance goes against the unpredictable nature of research. Many groundbreaking discoveries come from research with no clear public benefits at the start. The mRNA-based vaccines that saved millions of lives during the covid-19 pandemic drew on curiosity-driven research that for years had had no practical applications. Today’s AI revolution draws on decades-old neural networks research that was long thought unimportant. As the Royal Society has said, this additional public interest requirement would be an undue bureaucratic burden on researchers. For these reasons, we will seek to overturn the measure.

Fourthly, many Members will have observed Baroness Kidron’s campaign on AI and copyright with keen interest. One of the extraordinary things about Britain is our ability to support a cutting-edge AI sector and world-leading creative industries at the same time. Both are fundamental to our future prosperity and standing in the world, and I refuse to choose between them.

[Jess Brown-Fuller (Chichester) (LD)]

rose—

[Pete Wishart (Perth and Kinross-shire) (SNP)]

rose—

[Peter Kyle]

I will finish this section of my speech and then give way to those Members who have a considerable interest in this area. Let me say what I have to say, and then I will hear what hon. Members would like to contribute and engage as fully as I can.

The final framework must reward human creativity, incentivise innovation and provide the certainty required for long-term growth in both sectors, but the importance and complexity of this issue means that it should be considered through the live consultation. As I said in that consultation, legislation is ultimately likely to be needed.

[Pete Wishart]

Of course the creative industries are excited about the inclusion of clauses 135 to 139, which they see as their guarantee and protection against the ravages of generative artificial intelligence. Those clauses are in the Bill to protect our creative industries. Will the Secretary of State assure the House today that he will respect them and keep them in the Bill, with no attempt to water them down?

[Peter Kyle]

I pay tribute to those in the creative arts sector who are in the House today. I know that, for people who engage in that kind of activity, it is not just a job; it is a passion that comes straight from the heart. They are emotionally connected in a profound way to the work that they create, which is a credit not just to them as individuals but to our entire country. I can assure them that I have no intention at all of standing in the way of respect for their work.

As we go through this process, it will be essential that we listen to the voices from both sides. The consultation that is currently live is a meaningful one, and I assure the House that I am engaging with it. I look forward to hearing all the voices in the consultation and, as I have said, it is likely that legislation on this specific issue will come out of it. That would give the House an opportunity to go through this issue in enormous detail at the appropriate time. I am listening carefully and I want to engage with all the voices throughout the Committee stage and ensure that the debate continues.

[Jess Brown-Fuller]

Some creatives are arguing that the current consultation could be undermined because it already promotes a preferred option, which is the handing over of creatives’ intellectual property to the AI sector. That would include creatives such as composers, lyricists and writers—one of whom the Secretary of State is sitting next to. Some of them are struggling to earn a fair living, although perhaps not our hon. Friend the Minister. AI models are being trained on those creatives’ work without their knowledge or consent. Without adequate protection for those creatives and without greater transparency over when their intellectual property is being scraped, the creative industries as we know them will cease to exist. Will the Secretary of State commit to ensuring that those creative voices, of whom there are 2.4 million in Britain, are heard throughout the Committee stage?

[Peter Kyle]

I am grateful to the hon. Lady for her offer of advocacy for the Minister for Creative Industries, Arts and Tourism, my hon. Friend the Member for Rhondda and Ogmore (Chris Bryant). I have never known him to lack a voice for self-advocacy. However, should the time arise, I know that she will be on his speed dial. The issues that she has raised are of profound importance. As I have said, I recognise not just the economic issues but the personal connection that creatives have with the art and work that they create. I have absolutely no intention of disempowering them in that relationship, and I certainly have no intention whatsoever of taking away any rights from those individuals without any consultation.

We recognise that people in the creative arts sector are making representations, as they absolutely should be, and I listen carefully to them, but this country has the third largest AI market in the world. There are young people currently studying in schools, colleges and universities around the country who aspire to work in the technology sector, and they should not have to leave the country and work abroad in order to fulfil their potential. Of the people who have contributed so much to our economy, of course those in the creative arts are absolutely front and centre. Alongside them is the technology sector, which is providing enormous opportunities in job creation, wealth creation and innovation right across the country. Parts of this country are becoming a magnet for talent, not only from this country but from around the world, and I do not want anybody to feel that they have to leave the country to seek opportunities to exploit their talent and potential as individuals. I believe there is a way forward, and I assure the hon. Member for Chichester (Jess Brown-Fuller) that, whatever people think of the consultation, I am listening very closely. The Minister for Data Protection and Telecoms has been engaging fully, and we take these issues incredibly seriously. We will continue to do so in Committee and beyond.

[Mr James Frith (Bury North) (Lab)]

I am a great admirer of the Secretary of State, and I admire his belief in his cause today. The creative sector will have heard his commitment to listen, and I thank him for ensuring the openness and engagement of his Ministers on this issue. In the spirit of listening, will he agree from the Dispatch Box today to meet those creatives who are keen to have an audience with him on this significant issue?

[Peter Kyle]

I am grateful for my hon. Friend’s work on the Culture, Media and Sport Committee in scrutinising these areas and for being a voice for the sector. It goes without saying that I would be delighted to meet the people he references, and the same goes for Members on both sides of the House. Whether I can fit every one of the 2.5 million people who work in the sector into my office, I do not know. It is a bigger office than I had seven months ago, but I am not sure I can fit everyone in. However, I will do my absolute best; I am here to listen and learn, as I have been from the outset, and I am here to find a way through. It is time to reconcile these issues and to give certainty to people in both the creative arts sector and the technology sector. I believe the Bill is the moment for this House to provide the certainty that both sides need as we move forward.

Fifthly and finally, let me say a word on Lord Lucas’s amendments. People will use digital identities to buy a house, to rent a car and to get a job. The intention of clause 45(6) is to force public authorities to share whether someone’s information, such as their sex, has changed when disclosing information under clause 45 as part of a digital verification check. That would mean passing on an excessive amount of personal data. Sharing such changes by default would be an unjustifiable invasion of people’s privacy, and I am unable to say that clause 45(6) is compatible with human rights law, which is why we will seek to overturn the amendment.

[Sir Jeremy Wright]

The Secretary of State is very generous in giving way. Before he finishes, may I ask him about the situation we are creating with this Bill and the Online Safety Act 2023 of setting a framework within which regulators need to operate and cover a good deal of ground? Does he think the advent of these pieces of legislation makes a stronger case for a new Committee of this House, and perhaps a Joint Committee, to maintain scrutiny of ongoing digital regulation? If so, will he be prepared to advance that case?

[Peter Kyle]

That is the right hon. and learned Gentleman’s second audition of the day. I am open-minded on these issues, and I take leadership from the Leader of the House on Committee matters.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

I congratulate the Secretary of State on this Bill, and on setting out the importance and ubiquity of data; the current confusion on data sharing, data formats, data processing and data usage; and the lack of action by the previous Government to address some of these issues.

Given the evolution of AI technology, its simply being a method of processing data and its growing importance and applications, can this Bill possibly address all future issues? Is this Bill the Government’s last word on data, or is it their first word?

[Peter Kyle]

Of course, we should have had this Bill two years ago. We have seen enormous progress on AI technology since then. I have been at the Paris summit for the past few days, and I saw where this technology is heading. Huge advances in the power of AI and the move towards artificial general intelligence are happening faster than anybody imagined. I cannot guarantee that this Bill will be sound for time immemorial, but I can say that it is fit for the moment in which we are living.

I reassure my hon. Friend that all our regulators have been tasked with assessing how non-frontier AI, as applied throughout the economy and society, will impact the sectors they regulate. The Department for Science, Innovation and Technology is offering assistance, where needed, as we assess the impact across our society.

My hon. Friend refers to a general-purpose technology, and it will therefore be applied and deployed in different parts of the economy and society in very different ways. We must make sure that, as a society, we deploy it safely. Once we ensure that the technology is safe, we can embrace it and explore all the opportunities that it offers.

[Freddie van Mierlo (Henley and Thame) (LD)]

It is hard to imagine a dataset in which it is more important to maintain confidentiality than patient data. This Bill makes changes to the Health and Social Care Act 2012. Can the Secretary of State guarantee that there are no changes to patient confidentiality?

[Peter Kyle]

I am pleased to give the hon. Member that assurance.

Data reform could not be more urgent or more necessary. Governments have spent years waxing lyrical about the immense promise of technology.

[Sir Ashley Fox]

Will the Secretary of State give way?

[Peter Kyle]

I will carry on, I am afraid.

The failure of previous Governments to deliver data reform has undermined that promise, stalling economic growth and leaving our public services wrapped up in red tape, and our citizens have paid the price. This Bill will smash the silos standing in the way of reform and remove the brakes that are holding Britain back.

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[Alan Mak]

The creative industries sector is telling us that that solution is not fit for purpose. We will hold the Labour Government to account because the creative industries are extremely important.

Under the Conservatives, we became the second largest exporter of television programming and the fourth largest exporter of film, while also being home to world-class theatre, music, broadcasting and journalism.

[Peter Kyle]

On that point, will the hon. Gentleman give way?

[Alan Mak]

I make progress, but I will give way shortly.

On the Conservative Benches, we have many well-respected champions of the creative industries sector. I am especially looking forward to the contribution of my right hon. Friend the Member for Maldon, who brings his insight as a former Secretary of State for Culture, Media and Sport, creative industries Minister and Chair of the Culture, Media and Sport Committee. I am also grateful to my hon. Friend the Member for Gosport (Dame Caroline Dinenage), the current Chair of the Culture, Media and Sport Committee, for her work and leadership on the issue. My right hon. Friend the Member for Daventry (Stuart Andrew), the shadow Secretary of State for Culture, Media and Sport, and my hon. Friend the Member for Meriden and Solihull East (Saqib Bhatti), the shadow DCMS Minister, are both long-standing advocates for the creative industries. They have both engaged extensively with the creative industries on AI and copyright issues, and together we will continue to champion those industries in this House and beyond.

[Peter Kyle]

The hon. Gentleman did not answer the question asked by the hon. Member for Perth and Kinross-shire (Pete Wishart). Does the hon. Gentleman agree with the opt-out or not? He seemed to disagree with it, but then he described exactly the same process as we have in the consultation.

[Alan Mak]

The Secretary of State needs to listen to the creative industries sector. So far he has ignored that sector, issued a consultation late and given it no faith whatsoever. The timing of the consultation and the Bill is fully faulty, reflecting Labour’s entirely incoherent approach—[Interruption.] The Government’s consultation on AI and copyright is open for another two weeks and it will take them many months to respond to the views expressed. On top of that, more time will be needed for the Government to come to any sort of conclusion, and that is before the Chancellor and No. 10 panic, take control of the policy, edge out the Secretary of State and cause even more delay.

[Peter Kyle]

On that point, will the hon. Gentleman give way?

[Alan Mak]

I am not in government, so I will not give way until later—although if the Secretary of State wants to come to the Dispatch Box to explain why his consultation and review are late and why he has not given any certainty to the sector, I am happy to give way, but I do not think he wants to do that. Let us go back to the Bill—[Interruption.] Okay, I am happy to give way.

[Peter Kyle]

Well, we certainly did not take 14 years to do that, but will the hon. Gentleman answer this: does he agree with the opt-out system? Yes or no?

[Alan Mak]

The Secretary of State keeps asking me questions, but I am not in government. It is for him to answer. It is for him to bring forward a consultation and legislation, and to give certainty to the creative sector. There is no point asking me questions—I am not in government.

What I can tell the Secretary of State is that it is extremely unfortunate that this legislation is passing through Parliament now, while the consultation is still ongoing. Amendments are being tabled by Members from all parts of both Houses, leading to legislative positions being crystalised even though the consultation has not yet closed. If the Government really took seriously the views of the public, the tech sector, the creative industries and other stakeholders, they would not be following this approach or timetable. Therefore, we will table amendments calling on the Government to respond to their own consultation more quickly.

Labour’s consultation provides the worst of all worlds: it does not provide any legal certainty or allow the views of those who have responded to be taken seriously. However, Labour should take the views of parliamentarians seriously, including those of its own Back-Bench MPs, who have voiced concerns at the Government’s approach in this very House. Labour should also take seriously the views of those in the other place. The Secretary of State acknowledged that the Government have already been heavily defeated on several amendments, including the Conservative amendments tabled by Baroness Owen of Alderley Edge on sexually explicit deepfake images, which secured wide-ranging support. The Government were also defeated on Conservative amendments tabled by Lord Lucas and Lord Arbuthnot that recognise the importance of accurate data, particularly when it comes to gender and sex. Confusing biological sex and elective gender puts patient safety at risk.

The Bill is lengthy and we will continue to properly scrutinise it as it progresses through the House. Labour’s track record to date on science and technology issues is so bad it needs all the help it can get. In just eight months in office, the Labour Government have already committed eight acts of harm on science and technology issues. They have imposed a national insurance jobs tax, punishing tech workers and businesses; lost a £450 million investment from AstraZeneca, doing away hundreds of jobs; launched an AI plan with no new funding or delivery plan, which creates two new quangos and more red tape; cancelled the UK’s new exascale supercomputer, hampering our scientists while our competitors race ahead; skipped the international AI summit of world leaders, started by the Conservatives but ignored by this Labour Prime Minister; scrapped £500 million of funding for the AI research resource, which funds computer power for AI; abandoned Conservative plans for the national maths academy, harming the next generation of data scientists; and aligned Britain with the EU’s failing approach to AI and copyright.

Labour’s approach is analogue government in the digital age: slow, uninspiring and not good enough for Britain. Labour promised so much, but it has delivered only failure.

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[Alison Hume]

The right hon. Gentleman makes an important point, and it is crucial that the Government take that into account at the end of the consultation.

[Peter Kyle]

We have heard lots of voices from the creative arts sector. The point of the consultation is to hear from all sectors. So far in the debate we have not heard representations or voices from the technology sector—I look forward to the contribution by the hon. Member for North Norfolk (Steff Aquarone)—but I have been reassured by the technology companies that they are engaging with the consultation and are trying to present the technological solutions for which my hon. Friend inquires. That is why the live consultation is so important: so that I, and we as a House, can judge whether the submissions from technology companies are robust and implementable enough and can see where the technology will go. The consultation is still live during this debate, and I hope that by the time we are in Committee, we can have more of an informed discussion, even though, as I said before, there is the likelihood of further parliamentary involvement down the line in a fully informed way.

[Alison Hume]

I thank the Secretary of State for his reassurances. I know that creatives are worried because the scraping is happening now and will carry on until we have a solution. We must protect the creative industries. They grew by over a third between 2010 and 2023 in terms of gross value added, far outpacing growth in the UK economy as a whole. They are worth more to the economy than life sciences, car manufacturing, aerospace and the oil and gas sectors combined. They are a glorious British success story. They make us proud. They make us feel good. They shape the nation’s identity. They make us, well, us. They are represented in every corner of the UK, with 2.4 million workers, 70% of whom live outside London. They are writers, musicians, photographers, artists—all manner of wonderful creative folk, powering one of our greatest success stories and one of our best engines for growth.

In my constituency of Scarborough and Whitby, I have been entreated by individual creatives and small and medium-sized enterprises to ask the Government to look after their rights and to protect their income. Recently, I proudly served on the Employment Rights Bill Committee—a Bill that will see the biggest improvements for working people in a generation. Creatives are working people, too. Creative work is work. The Secretary of State for Culture, Media and Sport has talked about her determination to take the brakes off the creative industries and turbocharge growth.

If the creative industries are a fast car, the creative is the driver. Without us, it is the equivalent of a driverless car—fine, maybe, to get from A to B—but if we are to produce the kind of quality scripts behind the superb television dramas that entertain, comfort, inspire and, as recently shown in the case of “Mr Bates vs The Post Office”, effect meaningful change, we need a human being at the wheel. To have a human there, we need to ensure that they are paid for doing what they do best: being original.

We should inspire the rest of the world to adopt high standards, lead from the front and amplify our influence on the global stage. Britain’s creative industries deserve a dynamic licensing market that protects copyright and drives growth and innovation in both the creative and tech sectors. I look forward to the outcome of the consultation on AI and copyright and to working with the Secretary of State and the Minister to find a future-proofed solution, which protects original work and the ability to earn an income from it. The Labour party was founded on the principle of a fair day’s wage for a fair day’s work. Being in government is our opportunity to fulfil that principle for UK creatives.