Data (Use and Access) Bill [Lords]

Victoria Collins Excerpts

2nd reading
Wednesday 12th February 2025 Commons Chamber

[Victoria Collins (Harpenden and Berkhamsted) (LD)]

Data is the new gold. It is by using good data, and lots of the stuff—heaps—that we will cure diseases, empower consumers and businesses, find solutions to societal problems and unleash economic growth. Behind that data, however, are the lives of everyday people, and the decisions made with that data will impact everyday lives. We must ensure that data and the value from it is used in the service of the British people. That is why the Liberal Democrats welcome this Bill’s efforts to modernise and clarify our data laws and to unleash growth and opportunity.

The digital landscape is evolving rapidly, and it is right that we seek to keep pace. The Bill marks an improvement on the previous data Bill introduced under the Conservative Government. However, although this Bill contains some positive steps, it also contains significant gaps and missed opportunities. We must seize this opportunity to get the legislation right, and to ensure that the data landscape we put in place serves all of us across the UK.

Maintaining public trust in data safeguards is vital. As the Ada Lovelace Institute emphasises, trust about data and technology is a must. In order for our democratic principles to be upheld, citizens must be able to trust how their data is being used. That is even more important as the data-driven digital interfaces of government increase.

Trust is also two sides of the same coin: inclusion and adoption. One is critical for society and the other is crucial for growth. That is why, in the name of constructive opposition and the interest of firming up public trust, we would like to highlight concerns and missed opportunities. As the Bill passes through the House, we will be seeking to interrogate and strengthen it where necessary.

One of our primary concerns lies with the powers granted to the Secretary of State, particularly on recognised legitimate interests and the framework for digital verification. In essence, the Bill allows ministerial decisions that bypass meaningful parliamentary scrutiny. That risks a situation where changes to how data is captured or shared are made unilaterally, without the thorough checks and balances that Parliament or the public expect.

Both the Delegated Powers and Regulatory Reform Committee and the Constitution Committee have highlighted these issues. The Open Rights Group highlights concerns that a governing party could change the rules on election data, for example, or have undue influence on the Information Commissioner’s decision-making process and jeopardise impartiality. Although there is a drive in the Bill to formalise digital identity frameworks, the Liberal Democrats believe it is crucial to strike the right balance. We support harnessing digital verification to make services more efficient, provided there is robust transparency and independent oversight of how personal data is stored and used. We urge Ministers to tighten this area with clear ethical safeguards to genuinely foster trust rather than undermine it.

Secondly, modernisation should not come at the cost of transparency. Several clauses appear to dilute individuals’ rights to information about how their data is collected and processed, notably in respect of legitimate interests and automated decision making. Clause 77, for example, risks seriously watering down the rights of data subjects, and in doing so seriously hampers public trust in data processing. The National Data Guardian and the British Medical Association, for example, are worried about the clause eroding transparency in how health and social care data is used for research. If we truly wish to harness the benefits of emerging technology, from AI to digital verification, we must earn and maintain that trust, and that depends on being open about how data is used and by whom.

That brings me on to the Bill’s proposals on automated decision making. They currently focus on special category data, which leaves our ordinary personal data less shielded. AI and algorithmic processes increasingly determine people’s credit, insurance, and even job prospects. There are risks in restricting enhanced safeguards to only certain categories of information without further amendments to protect individuals.

[Sir John Hayes (South Holland and The Deepings) (Con)]

The hon. Lady is absolutely right about that tendency, but it does not have to be like that. We can either build a society that is about personal interactions and familiarity, or we can allow a society of the kind she describes to develop, which will destroy the tapestry of those interactions that make up the wellbeing of each of us and all of us.

[Victoria Collins]

There is definitely a lot of opportunity in automated decision making, but the safeguards must be in place to make sure that human decisions and the right to safeguards around the impact of those decisions are upheld, because restricting enhanced safeguards to only certain categories of information, without further amendments, could exclude a wide range of significant decisions from meaningful human review and create a lack of transparency. Again, doing so undermines public trust and hinders the adoption of AI and emergent technologies.

We share the concerns of organisations including Justice and the Open Rights Group that clause 80 weakens safeguards by broadening the scope for automated decisions. Although the clause makes safeguarding requirements more explicit, there are concerns that it also provides the Secretary of State with considerable powers via secondary legislation to amend or set aside those safeguards. The Liberal Democrats are firm in our conviction that where a person is the subject of automated decision making, there simply must be a right to explanation, a right to appeal and a meaningful human intervention.

[The Minister for Data Protection and Telecoms (Chris Bryant)]

I hope the hon. Lady recognises that one of the changes we have made to the Bill is to insist on there being meaningful human involvement. That was not in the previous version of the Bill. I think that that helps considerably with the issue of automated decision making.

[Victoria Collins]

I thank the Minister for his intervention. For us, it is a question of making sure that any input from the Secretary of State—whoever that is—does not undermine those safeguards. [Interruption.] I am sure that the current Secretary of State will be around for a while.

[Chris Bryant]

What do you know?

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[Victoria Collins]

I know nothing. I shall continue with data adequacy.

We must be mindful of our data adequacy agreements with the EU and other partners, and I know that the Government are all too aware of that. By watering down protections, we risk undermining our international credibility and endangering agreements that are essential for British businesses, academic institutions, and cross-border collaboration. It is paramount that our reforms do not jeopardise those vital partnerships, and it is vital that, as we update UK data law, we protect our position as a leading, trusted partner for international data sharing. At a time when international waters look increasingly choppy, this is more important than ever.

There is a real opportunity for the Bill to go further and promote data trusts or data communities—where groups of individuals collectively manage their data for wider societal benefit, such as medical research or tackling climate change. The Bill could champion that approach, thereby boosting public interest innovation. Instead, it is largely silent on collective or community-driven data governance, and misses a crucial chance to build genuine public trust in how technology can help us all.

By going further on data trusts or data communities, we could further unlock economic growth, as is exemplified by open banking. Consumers and small business can use this, and smaller providers can grow and compete more effectively. Furthermore, considerations over access to data on energy consumption could help improve sustainability and drive down energy bills.

The Bill has come to us from the other place, and I commend the work that has taken place in the House of Lords in recent weeks to scrutinise and improve the legislation. There are several areas where the changes made in the other place will have the support of the Liberal Democrats. On AI and copyright, we have been very clear that the current Government proposals would fail creatives. The Conservative shadow Minister was not clear on his stance on the question of opt in or opt out, so the creative industry has been left unsure of whether the Conservatives will support it. I am happy to take an intervention from the shadow Minister if he wants to clarify his position.

[Alan Mak]

I said to the Minister, and I will say it again for the hon. Lady: it is for the Government to bring forward their proposal. Once the consultation closes, we will respond. That is the proper order in this House.

[Victoria Collins]

I thank the hon. Member for his intervention. As Liberal Democrats, we have been very clear on this, and we have listened to what the creative industry has said so far—

[Alan Mak]

Will the hon. Lady give way?

[Victoria Collins]

Let me finish my point and then I would be very happy to give way.

We are against the opt-out system, because we want to preserve the rights of copyright. It is easy for those creatives to opt in, whereas opting out is harder, especially for smaller businesses or creatives in their own right.

[Alan Mak]

I was going to say to the hon. Lady, half in jest and half in reality, that the Liberal Democrats will say whatever they need to say in any part of the country and on any issue. That is the reality.

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[Victoria Collins]

Like anyone in this House, we can say whatever we want to say—within the rules of the House, of course, and under the eye of Madam Deputy Speaker. We have been clear on our views and on our values. We have listened to the evidence and we have said what our view is, which is that we do not support the opt out. Our creatives are one of the UK’s greatest exports, which is why we support them. Our world leaders in this area should never be asked to give up their existing rights.

We also welcome the provisions of clause 81 to protect children’s data and introduce a legal duty for data privacy by design for services that are likely to be accessed by children. Across all areas of technology and the online world, safety by design for children is a concept to which we are firmly committed, and this is an important step.

Finally, we welcome the measures in clause 141 on deepfakes. Sexually explicit deepfakes have devastated far too many lives in this country, and it is very welcome that the Bill now contains a consent-based offence and that enforcement will have real teeth, with the possibility of custodial sentences. This is a long overdue step that has to be taken.

Overall, we support a modernised data framework that upholds digital rights while stimulating innovation. We want a dynamic tech economy that addresses real-world challenges—from healthcare to public services to climate resilience. Indeed, the Liberal Democrat vision is of a digital future that spreads the benefits of technology across society while protecting fundamental liberties. None the less, the Bill needs further amendments to safeguard fundamental rights and embed proper scrutiny. We will work with colleagues across the House, as well as with civil society organisations such as Big Brother Watch, Liberty and the Ada Lovelace Institute, to ensure that those important protections are not overlooked. We welcome measures that clarify or simplify how organisations may use data to develop new products, support research or improve public services. For instance, the concept of data trusts and data communities, where individuals pool data for broader societal benefit, has the potential to create public interest innovation while retaining trust and control.

By improving oversight mechanisms, reinforcing transparency and embracing ideas such as data trusts, we can create a Bill that truly balances public interest with economic growth. We owe it to our constituents and to the future of our digital economy to deliver legislation that fosters innovation and secures individual rights in equal measure. I look forward to exploring these issues in Committee and ensuring that we seize the opportunity to shape a robust, rights-respecting digital landscape for the UK.

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[Dr Ben Spencer (Runnymede and Weybridge) (Con)]

As a self-professed data geek—[Interruption.] The Minister looks quite surprised at that. Well, I am now self-professing myself as a data geek, and it is a real pleasure to wind up this important debate on behalf of the official Opposition.

As the original architects of the Bill, the Opposition welcome the fact that the Government have recognised the potential of these Conservative-led policies to make people’s lives easier by being able to prove identity quickly when dealing with statutory agencies and service providers; to streamline and enhance public service delivery, such as by harmonising the information available to healthcare professionals across NHS settings; and to boost economic growth through the innovative use of smart data. In short, this Bill will bring into effect the previous Government’s ambition to harness and exploit data as the currency of the digital age.

The staggering pace of recent technological advances presents not only enormous opportunity, but challenges that demand further scrutiny. Earlier, the shadow Secretary of State, my hon. Friend the Member for Havant (Alan Mak), rightly pointed out some of the areas where the Government’s approach to the science and technology sector conflict with the outcomes that they want. We have had an extensive debate today with hon. Members covering a range of topics, some of which I shall refer to shortly.

Perhaps it is ironically apt that the Data (Use and Access) Bill has had so many iterations and this recursive Second Reading, but I must pay tribute to those who have been working before us to get it to the state it is in today. Much of the Bill is technical and uncontroversial, but some of it still needs to be thrashed out and debated, and I look forward to taking it through in Committee. I would like at this point to pay tribute to Lord Markham and Viscount Camrose. I was particularly pleased to hear the Government’s response with regard to security around the underground assets register.

I also pay tribute to my right hon. Friend the Member for Maldon (Sir John Whittingdale), who I am sure is glad that he is not doing another Second Reading speech and hopefully not taking the Bill through Committee for this side, and of course to Baroness Owen for the incredible work that she has done. The tribute paid to her by my hon. Friend the Member for Huntingdon (Ben Obese-Jecty) was far better than anything I could put together from this Dispatch Box, and I thank him for his comments.

By my count, we have had 15 or 16 Back-Bench speakers, and I would like to draw particular attention to the intervention from my right hon. and learned Friend the Member for Kenilworth and Southam (Sir Jeremy Wright), who pointed out the wranglings that took place in the House of Lords regarding data that is used for scientific purposes. I am sure that the definition of public interest will be discussed in further detail in Committee. I also particularly liked the speech from the hon. Member for Dewsbury and Batley (Iqbal Mohamed). As I have said, much of this Bill—this big tome—is in some ways uncontroversial. Many Members focused on a few specific areas, but I was interested that he looked at the whole scope of the Bill, particularly around the civil liberties components and the GDPR issues, which is what much of the core of the Bill is about.

There are a few points I would like to focus on, starting with data accuracy. My hon. Friend the Member for Sleaford and North Hykeham (Dr Johnson), who is not in her place, remarked that to empower the public and businesses to take full advantage of the speed and simplicity offered by digital verification services, there must be a high degree of confidence in the accuracy of the data provided by public authorities. In the other place, the Minister acknowledged this concern, stating that, as far as the data underpinning digital identity is concerned,

“we must have a single version of the truth”.—[Official Report, House of Lords, 21 January 2025; Vol. 842, c. 1620.]

However, he did not support the amendment seeking to guarantee the accuracy of data held by public authorities for the purpose of digital verification services, and nor did the Secretary of State in his opening remarks today.

While the reliability of the data that supports digital identity is fundamentally important across the board, an area of particular importance is the accurate recording of biological sex. This is vital for ensuring that services such as medical care are delivered properly and to protect female-only spaces. Biased data is worse than no data, and wrong data is worst of all. We call on the Government to ensure that data is robust and accurate as a matter of priority.

We must ensure the digital infrastructure is in place to support the Bill’s aims. We welcome the inclusion of provisions for NHS data sharing, and I should declare an interest as a former doctor whose wife is a doctor. I have spoken many times of the importance of data sharing. We focus on AI, but we need to get the basics right.

NHS data sharing, if implemented effectively, will enable the fast and seamless transfer of patient data between healthcare settings. It will lead to better clinical decision making and improved outcomes for patients, and the hon. Member for Bury St Edmunds and Stowmarket (Peter Prinsley) will be able to see his patients more efficiently and more effectively. I pay tribute to the strength of his argument, and I hope he takes the mantle I had when my party was in government of pushing for this to happen as quickly as possible.

To harness those benefits, the Government have acknowledged that healthcare settings’ IT systems will need to meet common standards to facilitate data sharing across platforms. The previous Government set out a bold plan for upgrading the nation’s digital infrastructure. This Government must continue and expedite that work to ensure the NHS has the tools it needs to implement the Bill’s reforms.

Finally, on the important subject of AI and copyright, the powerful debate both in the other place and here highlights the challenges, the complexities and the importance of making sure we get this right, particularly on the Government’s proposal for a data mining opt-out, as mentioned in the consultation. Many Members have raised that point, including my right hon. Friend the Member for Maldon and the hon. Members for Scarborough and Whitby (Alison Hume), for Stirling and Strathallan (Chris Kane), for Perth and Kinross-shire (Pete Wishart), for Bury North (Mr Frith), for Knowsley (Anneliese Midgley) and for Cheltenham (Max Wilkinson).

We cannot hold back the tide of change that AI has brought with it, nor can we put the genie back in the bottle, but we must do everything in our power to protect and promote our creative industries so that they can continue to thrive and grow, as they did with the support put in place by the previous Government during the pandemic.

The Government’s consultation on AI and copyright remains under way. My hon. Friend the shadow Secretary of State spoke about the overwhelming need for the Government to respond to the consultation as soon as possible. The Government must engage constructively with the industry and the official Opposition to identify solutions that turbocharge our developing AI industry while protecting and boosting the growth of our creative sector.

All of us, both those who work in the creative sector and those who benefit from it, understand just how important it is for our national identity. Live music is one of my passions. It was the thing I missed most during the pandemic. The idea that we could end up causing harm to our creative industry fills me with horror. The Opposition want to make sure we get this right, not only for those whose livelihoods depend on the industry but for all of us. This is complicated and difficult. If it were not, there would already be an answer—the Europeans would have an answer. This is a difficult situation that we need to get through.

[Victoria Collins]

As the hon. Gentleman says, it is vital that we support our creative industries. Will he clarify the Conservatives’ stance on opting in versus opting out, which is the current proposal?

[Dr Spencer]

Our position is pretty much exactly as I have just set out in my speech. A Government consultation is under way that presents four options, including the Government’s preferred opt-out option. There are challenges with that opt-out approach, as well as with a whole range of different approaches. As I have previously said from the Opposition Dispatch Box, whatever we do we must think about how that co-ordinates with what can happen in other jurisdictions. It is a complicated issue, and we need to ensure we get the legislation absolutely right. As I said, we need a response to the consultation as soon as possible so that we can chew through this further to find the best solution. In his summing up, I hope the Minister will update the House on that.