Post-Brexit Data Alliances to Fuel Economic Growth and Digital Progress in the UK
UK Announces Post-Brexit Data Strategy: The Data (Use and Access) Act 2025
The United Kingdom has unveiled its post-Brexit global data strategy, centred around the UK Data (Use and Access) Act 2025 (DUAA). This new law, which came into force on June 19, 2025, establishes a fresh data protection framework that deviates from the EU's GDPR model [1][2].
The DUAA aims to promote innovation by enhancing data accessibility and security, creating an environment conducive to the rapid development of data-driven technologies and services in the UK. This move is part of the UK government's broader post-Brexit strategy to establish the country as a global tech and innovation hub [1][2].
One of the key changes in the DUAA is the introduction of a more flexible "data protection test" for international data transfers. This replaces the prior "essentially equivalent" standard, making cross-border data transfers potentially easier compared to the stricter GDPR requirements [1].
The Act also brings amendments to existing UK data laws, including the UK GDPR, the Data Protection Act 2018, and the Privacy and Electronic Communications Regulations (PECR). The updates cover automated decision-making, legitimate interest, cookies, and complaint procedures. The UK's Information Commissioner's Office (ICO) will provide detailed guidance in late 2025 or early 2026 [1].
Businesses operating in or with the UK must adapt to new compliance obligations that prioritise data accessibility and security, although these may diverge from EU rules. Financial services firms, in particular, should reassess their data management practices to align with the phased implementation of the DUAA through June 2026 [2][3].
Compared to the EU GDPR's extensive and prescriptive framework, the UK's DUAA focuses on flexibility and innovation-friendliness, potentially lowering barriers for international data exchange. However, this divergence could complicate UK-EU data relations, as ongoing negotiations seek to reconcile these differences, affecting cross-border business operations and data handling requirements [4].
The UK's data strategy sends a clear message to all countries about the existence of alternatives to the EU's GDPR. It presents a viable option for economies that want to balance consumer protection and innovation. The UK has also announced plans to build data partnerships with key global allies [5].
Daniel Castro, the director of the Center for Data Innovation, issued a statement in response to the UK's data plan announcement. He emphasised the potential for the DUAA to boost growth and digital innovation, while protecting consumer privacy without imposing regulatory costs on businesses [6].
In conclusion, the UK's post-Brexit data strategy, as embodied in the Data (Use and Access) Act 2025, seeks to balance data protection with greater flexibility and innovation promotion. This shift from the EU’s GDPR's more rigid framework could influence international data sharing, compliance, and digital innovation within and beyond the UK [1][2][4][5].
References:
[1] UK Government (2025). Data (Use and Access) Act 2025 [2] UK Government (2025). UK Data (Use and Access) Act 2025: Explanatory Memorandum [3] UK Government (2025). UK Data (Use and Access) Act 2025: Implementation Timeline [4] Castro, D. (2025). The UK's Data (Use and Access) Act 2025: A New Era for International Data Flows [5] UK Government (2025). UK's Post-Brexit Global Data Strategy [6] Castro, D. (2025). Statement on the UK's Data (Use and Access) Act 2025
- The UK's Data (Use and Access) Act 2025, a departure from the EU's GDPR model, is designed to promote innovation by enhancing data accessibility and security in the realm of technology and business.
- The new law, known as DUAA, aims to make cross-border data transfers potentially easier, with a more flexible "data protection test," thus lowering barriers for innovation and international data exchange.
- As businesses adapt to the new data compliance obligations, they must prioritize data accessibility and security, with potential differences from EU rules, particularly in the finance sector.
- The UK's post-Brexit data strategy sends a signal to other countries about the existence of alternatives that balance consumer privacy and innovation, potentially impacting international data sharing and digital innovation.
- This shift from the EU's GDPR's more rigid framework could influence the global news arena, as countries consider their own data protection policies that prioritize innovation and technology.