UK digital, culture, media & sport secretary Michelle Donelan met with US secretary of commerce, Gina Raimondo on Friday, to discuss a range of “digital issues”.
The Department for Digital, Culture, Media & Sport [DCMS] said that the talks “paved the way for a new data adequacy agreement in the coming weeks” as the duo met to discuss several digital priorities for both countries.
At the moment, any organisation transferring personal data from the UK to the US must use costly and time-consuming transfer tools, such as international data transfer agreements. These slow down data flows and create more of an administrative burden for businesses.
DCMS says that striking data adequacy agreements – which allow personal data to be transferred freely from the UK to countries with high protection standards – will unlock growth and enable the faster sharing of critical information across borders.
DCMS has also talked up the benefit for business, with barriers to trade and growth in international markets removed. Meanwhile, consumers are also able to have better access to higher-quality products at lower prices.
Exports of British data-enabled services to the US were estimated to be worth over £69 billion in 2020 and are set to grow further once lengthy data transfer mechanisms are lifted.
On the agenda for discussion between Donelan (pictured) and Raimondo was the UK’s adequacy assessment of the US’s new Data Privacy Framework, which can be used to securely send UK data to organisations in America. What protections would be in place for UK data under such an agreement were covered and there was a commitment made to conclude the adequacy work over the coming weeks.
Donelan also welcomed the publication of an Executive Order, signed by US president Joe Biden this week, which strengthens safeguards for UK data processed by US authorities and opens up new redress routes.
There has also been joint-commitment on both sides to a new official dialogue headed by DCMS, the Foreign Office, and the US Departments of Commerce and State, to build on the landmark tech agreement struck between the two countries in 2021.
The dialogue will take the form of an annual meeting where ministers from both governments will convene to discuss key tech-related priorities and deliver joint initiatives.
The first of these meetings will focus on data, critical and emerging technologies, and resilient digital infrastructure.
UK digital secretary Michelle Donelan commented: “The United States shares our democratic values, digital priorities and commitment to high standards of data privacy.
“Data and tech are creating new opportunities for growth and connection between our two countries, including between our world-leading tech industries.
“I look forward to working together to bring these benefits to people on both sides of the Atlantic.”
US secretary of commerce Gina Raimondo said: “Today’s announcement affirms our shared commitment to promoting responsible innovation and digital policies, while also supporting growth and opportunity.
“This partnership reflects our deepening cooperation on bilateral data and tech issues, as well as our commitment to closer engagement and global leadership as these issues continue to evolve. I look forward to working closely with secretary Donelan as we continue looking for ways to balance the needs of privacy and responsible data use while removing barriers for critical business needs.”
Julian David, CEO of techUK, said that the progress toward an agreement would be greeted warmly by UK industry.
David said: “Progress on UK-US data sharing will be welcomed by businesses across the UK. An agreement will provide business with the legal certainty and confidence needed to access new markets and create opportunities for innovation. This will enable the UK to leverage its world-leading industries such as financial services and tech to drive wider economic growth on all sides of the Atlantic.”
Following their meeting, the two ministers convened with industry, civil society and academic leaders, including from Meta, IBM and the London Stock Exchange, who were pleased with the headway towards a data agreement.
Duncan Edwards, CEO of BritishAmerican Business, said: “Business has been clear that it needs an open, safe and legally secure environment for transatlantic data flows.
“A new, bilateral agreement should provide businesses with more certainty to make data-related investment decisions and remove legal uncertainty and burdensome administration from their day-to-day business activities.
“Further UK-US cooperation in this area is a welcome step towards strengthening the transatlantic partnership and will help create a more consistent set of international data transfer rules.”
The news follows the UK’s summer announcement that it has agreed its first data adequacy decision in principle with South Korea.
South Korea was one of the UK’s top six priority partners for data enabled service exports, alongside Australia, Colombia, the Dubai International Finance Centre, Singapore, and the US.
Combined, exports to these six are already worth more than £80 billion, which is set to rise further when adequacy agreements with all are reached.\
