{"id":68753,"date":"2018-03-17T11:40:29","date_gmt":"2018-03-17T11:40:29","guid":{"rendered":"http:\/\/www.bnreport.com\/brexit-threat-to-data-flows\/"},"modified":"2018-03-17T11:40:29","modified_gmt":"2018-03-17T11:40:29","slug":"brexit-threat-to-data-flows","status":"publish","type":"post","link":"https:\/\/www.bnreport.com\/en\/brexit-threat-to-data-flows\/","title":{"rendered":"Brexit threat to data flows"},"content":{"rendered":"<p>LONDON \u2014 Keeping digital data flowing between Britain and the EU is crucial to the post-Brexit plans of U.K. Prime Minister Theresa May.<\/p>\n<p>But someone forgot to tell the negotiators in Brussels.<\/p>\n<p>British and EU officials have yet to start discussions about how such data flows \u2014 everything from information on people\u2019s search queries to companies\u2019 payroll details \u2014 will continue after the U.K. leaves the bloc, according to several U.K. and EU officials who spoke to POLITICO.<\/p>\n<p>The lack of even initial negotiations on data, now the lifeblood of the digital economy representing hundreds of billions of pounds of annual trade between both sides, has raised warnings that the U.K.\u2019s focus on tech in its post-Brexit plans may run into problems if it can\u2019t retain access to EU data.<\/p>\n<p>It also may undermine London\u2019s efforts to secure a far-reaching free-trade agreement with the bloc after May insisted that data flows were one of the \u201cfive foundations\u201d of the U.K.\u2019s future trading relationship with Brussels.<\/p>\n<p>\u201cIt would be quite a shock to the system if we find ourselves out of the EU\u2019s trusted area,\u201d said Paula Barrett, global head of privacy and information law at the Eversheds Sutherland in London. \u201cIt would make some businesses think twice about moving to the U.K.\u201d<\/p>\n<blockquote>\n<p>\u201cThe Commission has taken a very strict interpretation of their sequencing guidelines to say future data flows are a matter for future negotiations\u201d \u2014 <em>U.K. government official<\/em><\/p>\n<\/blockquote>\n<p>While both U.K. and EU negotiators understand the urgency to start data talks, neither side has so far begun haggling over a so-called adequacy agreement, which would maintain unfettered access to digital information between both sides, the officials told POLITICO.<\/p>\n<p>They spoke on condition of anonymity because they were not authorized to discuss the positions publicly.<\/p>\n<p>Without an adequacy agreement, British-based companies would not have automatic rights to data held within the EU, and would have to rely on other cumbersome mechanisms to retain any access to such information. Now, three-quarters of U.K. international data flows are with EU countries, according to <a href=\"https:\/\/www.gov.uk\/government\/uploads\/system\/uploads\/attachment_data\/file\/639853\/The_exchange_and_protection_of_personal_data.pdf\" rel=\"noreferrer\" target=\"_blank\">government figures<\/a>.<!--more--><\/p>\n<p>Central to any future data access are worries about Britain\u2019s national security operations. The U.K. Information Commissioner, the country\u2019s privacy watchdog, warned Tuesday that bulk collection and retention of data by government agencies could undermine the U.K.\u2019s bid to get a data agreement with the EU.<\/p>\n<p>\u201cThe Commission has taken a very strict interpretation of their sequencing guidelines to say future data flows are a matter for future negotiations,\u201d a U.K government official familiar with the issue told POLITICO. \u201cWe <a href=\"https:\/\/www.gov.uk\/government\/uploads\/system\/uploads\/attachment_data\/file\/639853\/The_exchange_and_protection_of_personal_data.pdf\" rel=\"noreferrer\" target=\"_blank\">published a paper<\/a> on it last summer, which has not been met by any response because they would say they are unable to discuss it because it is a future issue.\u201d<\/p>\n<p>There are also British frustrations that potential data discussions have centered on what would be required to wind down U.K.-EU data flows, which the official said is \u201cnever going to be used in real life.\u201d<\/p>\n<p>It is taking up time that could be used to outline a future relationship beneficial to both sides, he added.<\/p>\n<p>In response, EU officials say Britain has yet to lay out what it wants from such a data-flow deal, and such discussions must wait until officials have hammered out how the U.K. will leave the bloc.<\/p>\n<p>Another difficulty, according to the U.K. and EU officials, are delays over who will lead the talks on both sides when they eventually start.<\/p>\n<p>The U.K. official could not say who would run the talks on the U.K. side, but told POLITICO any future talks would rely on \u201ccross-Whitehall expertise.\u201d<\/p>\n<p>The Commission\u2019s justice and consumers department, which led previous data agreement negotiations with the United States, is expected to handle the day-to-day talks, though Michel Barnier\u2019s Brexit team is also likely to weigh in, according to EU officials.<\/p>\n<p> <img decoding=\"async\" src=\"https:\/\/www.politico.eu\/wp-content\/uploads\/2018\/01\/GettyImages-911752678-714x477.jpg\"\/><\/p>\n<p>European Union Chief Negotiator in charge of Brexit negotiations Michel Barnier at the EU headquarters in Brussels on January 29, 2018 | John Thys\/AFP via Getty Images<\/p>\n<p>As all this plays out, the need to tackle data flows becomes more urgent.<\/p>\n<p>While the U.K. government is confident that its current data protection standards, which already comply with EU norms, and its upcoming Data Protection Bill, will give it a head start in securing a deal, time is not on London\u2019s side.<\/p>\n<p>It took almost three years, for instance, for the EU to reach an agreement with the U.S. for a similar data transfer deal. Japan\u2019s pending data agreement with Brussels \u2014 an easier negotiation because Tokyo has similar data protection standards as the EU \u2014 is expected to take 18 months.<\/p>\n<p>EU officials said Britain\u2019s existing involvement in the bloc\u2019s privacy standards made the Japanese timeline more likely than the lengthy negotiations with the U.S.<\/p>\n<p>But, an official cautioned, the Brexit talks would be unlike any previous negotiations around data flows.<\/p>\n<p><em>David Herszenhorn contributed reporting from Brussels.<\/em><\/p>\n<p><a href=\"https:\/\/www.politico.eu\/article\/uk-eu-theresa-may-brexit-brussels-michel-barnier-data-protection-privacy-flows\/?utm_source=RSS_Feed&amp;utm_medium=RSS&amp;utm_campaign=RSS_Syndication\" rel=\"noreferrer\" target=\"_blank\">Original Article<\/a><\/p>\n<p> [contf] [contfnew]         <img decoding=\"async\" src=\"https:\/\/encrypted-tbn0.gstatic.com\/images?q=tbn:ANd9GcRMd3Tz2gX9xSa6CJyaOj2dokBVcrdaT4yY3R3RI7YmL18vCLZZ\"\/> <\/p>\n<h5><a href=\"http:\/\/www.politico.com\/&gt;Politico&lt;\/a&gt;&lt;\/h5&gt;_&lt;\/p&gt;[contfnewc]_[contfnewc]_&lt;\/body&gt;&lt;\/html&gt;\" rel=\"noreferrer\" target=\"_blank\"><\/a><\/h5>\n","protected":false},"excerpt":{"rendered":"<p>LONDON \u2014 Keeping digital data flowing between Britain and th..<\/p>\n","protected":false},"author":1,"featured_media":68754,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[50],"tags":[],"class_list":["post-68753","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tech"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.9 - 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