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Businesses could be forced to admit data breaches under watchdog plans

Businesses could be forced to admit to their customers, embarrassing and costly data breaches of their personal details under calls from the National Consumer Council (NCC).

The NCC is lobbying the EU, who are currently debating an overhaul to the ePrivacy Directive to force ISP providers to admit data breaches to customers.

Along with its fellow European consumer watchdogs it is petitioning for the overhaul to be expanded to all banks and businesses to compel them to report even minor breaches of security and lost data.

The watchdog is adamant the laws need to be changed to help consumers be better protected. They feel that small breaches are going on unreported thus making it almost impossible for consumers to adequately defend themselves against identity fraud.

The issue of reporting lost data has been highlighted with recent high profile instances of breaches, by not just business but public bodies as well, most notably the loss of 25 million records from the HM Revenue & Customs and 84,000 prisoner details lost by a Home Office contractor.

Business news brought to you by Lowerpremium.co.uk, your one-stop shop for business liability insurance.

September 03rd 2008

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