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The Cost of Data Inadequacy: The economic impacts of the UK failing to secure EU data adequacy
23 November 2020
Report with the New Economics Foundation
The Cost of Data Inadequacy:听The economic impacts of the UK failing to secure an EU data adequacy decision
UCL European Institute report with the New Economics Foundation
Authors
- Oliver Patel - Research Associate, UCL European Institute
- - Senior Researcher, New Economics Foundation
- Javier Ruiz - Digital Policy Consultant, independent
Following the end of the Brexit transition听period on 31 December 2020, the legal basis听for transferring personal data across the Channel听fundamentally changes. Unless the UK receives听an adequacy decision from the EU, businesses听and other organisations will no longer be able to听freely transfer data from the EU to the UK, without听putting in place their own additional measures.听These measures can be costly, bureaucratic, and听time-consuming to implement.
Although the UK has high standards of data听protection via the Data Protection Act 2018, which听enacted the General Data Protection Regulation听(GDPR) in UK law, an EU adequacy decision is听not guaranteed. Potential EU concerns with UK听national security, surveillance and human rights听frameworks, as well as a future trade deal with the听US, render adequacy uncertain. Furthermore, EU-UK听data flows are at the whim of the wider Brexit听process and negotiations.
This landmark report outlines the economic听cost and implications of the UK not receiving an听adequacy decision from the EU. We look at the听impact on businesses, different economic sectors,听and the wider economy. We believe that this is the听first comprehensive report analysing this issue from听an economic perspective.
Through extensive interviews with over sixty legal听professionals, data protection officers, business听representatives, and academics, from both the UK听and EU, we found that the risk of the UK failing听to secure an adequacy decision is both real and听serious, and that the impacts would be complex,听leading to significant uncertainty.听
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Report coverage in the media:
The Guardian -听
The Telegraph -
Euractiv听-
ZDNet听-听
Yahoo News听-听
TechCrunch听-听
Daily Express听-
Diginomica听-
Global Data Review听-听
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