Leaving the EU: Data Protection

Part of Clean Growth Strategy – in the House of Commons at 2:35 pm on 12 October 2017.

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Photo of Stephen Kerr Stephen Kerr Conservative, Stirling 2:35, 12 October 2017

No, they are not separate things. I want our country to be at the forefront of this revolution, because it represents a massive competitive advantage and can be the primary means of unlocking the perplexing conundrum of Britain’s productivity gap.

The fourth industrial revolution is powered by data. It has already been said a number of times in this debate—perhaps it is a cliché—that data is the new oil. Increasingly, data makes the world go around. I grateful to Guy Lloyd, a fellow of the Association of Professional Sales, for his graphic description of the digital age we live in, which is creating new information exponentially. Incredibly, 90% of data in the world today has been created in the past two years alone. Our current daily output of data is about the equivalent of 10 million Blu-ray discs which, if stacked, would be as high as four Eiffel towers. It does not take a genius to predict that, as the world becomes more connected and individuals become more empowered through technology, the data deluge will only increase.

Digital tools, fuelled by big data, are making it increasingly easy for business organisations to profile the marketplace they operate in, to identify the best potential customers for their business, and to improve the effectiveness and efficiency of their lead generation activities. Using artificial intelligence search engines, businesses trawl company reports, social presence and analyst commentaries to find companies that are likely to have a problem suited to their offering, and then identify who to talk to and how to connect with them based on their prospects’ employee social profiles. Artificial intelligence will also identify problems in the prospect journey through the opportunity pipeline, even predicting possible issues before an initial engagement, and suggesting workable solutions. The algorithmic examination of large amounts of data collected across the complex interactions of customers, and employees of customers, supports the design of much-improved customer experience. This is the world we are already living in.

Data protection should be about providing assurance that the data each of us provides to public bodies and private organisations is safe. The foundation principle of data protection must be trust. Each individual citizen must feel that their rights are protected in law, and they should also know that their rights are protected in law. The true focus of any data protection regime must be to provide reassurance to the individual citizen that their personal data is theirs to own, control and share as they choose, and that they can make decisions to share their data on an informed basis. Public and private corporations must be accountable for how they use that information, and they must collect it ethically and transparently.

There is no argument from me that the data protection regime within the European Union is a robust system that has been designed to provide significantly enhanced rights and protections for individual citizens within the European Union. My concern, however, is that data protection can also be a carefully constructed protectionist measure that works to the commercial advantage and convenience of some of the largest multinational companies. So often the voices of lobbyists and corporations drown out the better nature of our policymakers and, more often than not, that is certainly true of the European Union. EU regulations can become so complex and byzantine that new entrants to the field—I am talking from a commercial perspective—from emerging markets are crowded out. I seek assurances from the Minister in that regard.

Some Members will undoubtedly be in favour of protectionist policies, but I believe in free trade. The EU has built a wall from such regulations—a wall that we must be ready occasionally to breach. From my own point of view, the idea of being able to interact with the 3.7 billion humans who are on the internet is not only desirable but vital for the growth of many companies beyond the relatively small numbers within the European Union. We can position Britain at the heart of this global data processing industry. We have a proud history of this—from the Babbage engine to Skyscanner, via the work at Bletchley Park and Manchester 1. In my constituency of Stirling, superb IT companies are already expert in the field of data processing, and CodeBase Stirling, an organisation for supporting emerging companies, many of whom will be developing new applications in this field, has recently located there. Students at Stirling University are learning about big data in a master’s programme, and the work carried out there on big data analytics as well as machine learning will bear fruit long into the future.

We in this country have the skills and the knowledge. Members who think that we will sink without the EU have little faith in the spirit of the British entrepreneur. Brexit gives us the opportunity to think globally, and think globally we shall. Rather than the existing adequacy model of the EU, we need to consider partnerships based on shared understanding of privacy rights and a shared goal of ensuring that consumers give informed consent to their data being used. A shared international framework would give surety to companies operating globally that there are common standards to adhere to, at the same time as protecting consumers.