The Government wants all of your personal financial information
It was reported today that the Coalition Government is planning on changing the law requiring all companies and banks to hand over details of the earnings of the out-of-work and tax credit beneficiaries. Essentially, if the Government does not have this information already, they will be allowed to legally seek and receive the information. The plan is that eventually all bank details and account information of all UK wage earners and benefit recipients will be obtained by the government so that HMRC can aim to reduce the high number of recent tax errors.
A representative from HMRC said:
“This does not involve us receiving new information, but it does involve us getting it in a more timely manner and in a way that is easier to use in reducing fraud and error.
‘It will catch out people who are not reporting a change in their circumstances, and make it easier to identify people who are saying different things to HMRC and the Department for Work and Pensions (DWP) to maximise their tax credits and benefits.”
Under the current system, the Department for Work and Pensions holds tax benefit details separate from HMRC. The new system will require companies to submit payroll details every month and will also allow for HMRC and DWP to share bank details and other, personal financial information between both departments.
Clearly, this new scheme raises all kinds of security and privacy questions. Can we trust the Government to centrally maintain a database of all of our financial information in a secure and appropriate manner? Won’t a central database be open to all kinds of cyber attacks? Will the Government be able to guarantee the privacy of each person’s financial account? And if the Coalition Government is really and truly committed to decentralising government why are they planning on centralising all UK wage earners and benefit recipients’ financial information into one database? As the HMRC continues its land grab this year we need to keep an ever vigilant eye all of its plans for centralising personal, financial information.
9 Comments
Underwhelmed
8th November 2010I think this article misses the point – that our private information is ours and not the state’s and that there is no moral justification for unwarranted (in the literal sense) access.
The other points raised are valid but much less important than the principle above.
giveusbackourprivacy
8th November 2010@underwhelmed – yes our private information is supposed to be ours.
Perhaps it is time to close our bank accounts and keep our earnings under the mattress leaving the banks and the government to twiddle their thumbs when there are not so many bank details to share.
All of this sharing of data behind our backs, without our consent or worse against our withholding of consent is going to (already is) put pressure on those who find it difficult to cope with having no control over their private data. Our mental wellbeing is not being considered when they steamroller their way over our dwindling privacy.
when will it end?
8th November 2010@giveusbackourprivacy
Unfortunately, most employers insist on paying into an employee’s bank account so this means there will be a record.
Demeter
8th November 2010@underwhlemed.
You will be tickled then to learn that your medical records are not, never have been, and it is pretty much a racing cert that they never will be, yours. They belong to the Secretary of State.
You were saying ?
Underwhelmed
8th November 2010@giveusbackourprivacy – don’t know what the answer is; but do know allowing more access to the state or others is not.
@when will it end? – that is private business between an employer, employee and their their third parties (i.e. their respective banks). The state should have no right to those records.
@Dementer – The doctors work for the state, they take notes on behalf of of the state and perform procedures on behalf of the state. It makes sense that they are the state’s. However, the state belongs to us. Therefore the records belong to us and thus we have every right to tell them to how we want them to handle our data and information. Of course, the other option is to go private.
Demeter
8th November 2010@Underwhelmed.
“Therefore the records belong to us[…]”
Good luck with that one.
As to private – try moving your account from one provider to another and see who owns your records, when you get the bill for them letting you.
IanPJ
8th November 2010I’ve had enough of this, so put together Practical ways to combat the database state
//pjcjournal.wordpress.com/2010/11/08/how-to-combat-the-database-state/
Underwhelmed
9th November 2010@Demeter – that’s the point. I know the truth and refuse to accept the state’s position. As for private, then it becomes a choice; I’ll happily pay directly for something that I value, including my records. A more savvy person might agree with the provider during contract that the records remain his possession.
dollar item
21st January 2011I’ve had enough of this, so put together Practical ways to combat the database state