Government should work with international partners on data and digital trade, says Lords committee

The global economy has experienced a rapid growth in digitally facilitated and delivered trade in goods and services. This report identifies opportunities for the Government to demonstrate international leadership by working with partners to develop commonly agreed definitions and rules. This could help to avoid regulatory problems on a range of issues including regulating personal data, emerging technologies, and digitising trade documents. The report also concludes that the UK should work with like-minded partners on establishing international consensus on issues such as cross-border data flows and other digital trade governance issues, including at the WTO.

The Committee suggests that the Government's forthcoming trade strategy is an opportunity further to develop a targeted approach to key issues relating to data and digital trade. It calls on the Government to undertake a comprehensive review of the use of source code provisions in trade agreements, particularly focusing on the exceptions to the ban on disclosures. The report also recommends that the Government should maintain close dialogue with the European Union to ensure the UK maintains data adequacy with the EU.

The full report is available to read on the committee’s website.

Lord Goldsmith, Chair of the House of Lords International Agreements Committee said:

“We welcome government efforts to establish international cooperation and agreements in the rapidly evolving area of digital trade.

“We encourage the Government to work closely with a broad range of stakeholders, both business and non-business, to cooperate on the development of its forthcoming trade strategy and on the key issues, including data governance and the public policy space in international trade agreements.

“In addition, in an uncertain global environment, the UK's approach to data regulation should be kept under close review. Currently, we see this as best achieved via maintaining data adequacy with the European Union. It should also, as far as possible, include maintaining arrangements like the data bridge with the US and other large partners. We recommend that the Government set out a coherent approach to data privacy and data governance in its strategy.

“We look forward to receiving the Government’s response to our report, and hope that our conclusions and recommendations will prove useful in the current opportunity the UK has to demonstrate international leadership in the emerging and important area of digital trade.”