Data laws to get tougher

Firms will face stricter responsibilities for data protection within the next 18 months as new European laws come into effect. Meanwhile, the number of companies prosecuted for breaching the UK Data Protection Act (DPA) and related laws appears to be rising.

The government's Information Commission, which can seek unlimited fines through the courts, prosecuted 66 firms between 2001 and 2002, up from 23 between 2000 and 2001.

The problems are made worse by the fact that many firms are unaware of their responsibilities under the law, according to a survey by the London School of Economics for international law firm DLA.

Mike Pullen, a lawyer at DLA, said companies must protect data and comply with the law. Their responsibilities will grow as the UK adopts measures currently in the EU's draft Telecoms Data Protection Directive, designed to update data protection laws to deal with advances in technology. Employees' right to privacy in the workplace is also likely to be strengthened if European legislative proposals are accepted this year.

Pullen said the Information Commission was likely to prosecute a few high-profile firms to serve as a warning to others. He said that such prosecutions were likely to be highly damaging to companies and their brands, especially as most cases would involve breaches of human rights law.

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