CBI warns over extending data watchdog's powers

CBI: inspections could disrupt legal businesses

The CBI has criticised an amendment to the Coroners and Justice Bill that would allow the privacy watchdog to inspect companies' premises without a court's permission.

Currently, the Information Commissioner's Office (ICO) is required to obtain permission from a court before searching companies and their computer systems to ensure compliance with the Data Protection Act.

The removal of this safeguard could see unnecessary disruption to businesses that are complying with the law, according to Matthew Fell, CBI director of company affairs.

“Taking away this safeguard could lead to unnecessary and unjustified inspections that would hamper and disrupt responsible, law-abiding businesses at a difficult time," he said.

The ICO has long called for powers to spot-check private sector firms after uncovering a number of abuses of the Data Protection Act over the past few years, including an illegal contractors database for the construction industry.

In March, the Joint Committee on Human Rights backed ICO calls for the power to carry out spot-checks on businesses without court permission.

"As the line between private and public service providers becomes increasingly blurred, it is important that the Information Commissioner’s powers should be extended to cover the private sector," said Andrew Dismore, chairman of the committee.