The UK government has announced its decision to establish a data bridge with the US, enabling the free flow of personal data between the two regions.
Adequacy regulations have been laid out in the UK Parliament on September 21, 2023, to give effect to this decision, with the regulations due to come into force from October 12.
This follows the US Attorney General designating the UK as a ‘qualifying state’ under Executive Order 14086 on September 18. This will allow all UK individuals whose personal data has been transferred to the US under any transfer mechanisms, including under the UK GDPR, access to a newly established redress mechanism in the event that they believe that their personal data has been accessed unlawfully by US authorities for national security purposes.
UK Secretary of State for Science, Innovation, and Technology (DSIT), Michelle Donelan, therefore determined that this agreement does not undermine privacy protections for UK data subjects.
This means that from October 12, UK businesses can transfer personal data to the US without alternative mechanisms, and without completing transfer impact assessments and implementing additional transfer safeguards.
The data bridge was agreed in principle by the UK and US in June 2023. It represents a UK extension to the Data Privacy Framework agreed between the EU and US, which was confirmed in July 2023. Therefore, it is unlikely to cause issues for the UK’s own adequacy status with the EU.
The Data Privacy Framework replaces the previous Privacy Shield arrangement between the EU and US, which was ruled unlawful under the GDPR due to concerns that US law enforcement agencies could access personal data transferred to the US.
Unlocking Economic Opportunities?
Both the US and UK government have argued that the data bridge will unlock economic opportunities for businesses as well as facilitating innovation in areas like science and research.
Speaking to Infosecurity, Ieuan Jolly, partner and chair of Linklaters’ US TMT & Data Solutions Practice, based in New York, welcomed the announcement, stating it provides legal certainty for businesses on both sides of the Atlantic, in addition to fostering stronger ties between the two countries.
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