EU GDPR – the Reason behind the Regulation

There are only 9 month remaining until EU General Data Protection Regulation (GDPR) profoundly changes the way organisations and businesses treat customer data.

Understanding why the regulation is coming into play will help businesses understand how to approach protecting their customers data. It will also help individuals understand their rights to the privacy of their data.

 

Below is a summary of the main reasons

  1. Inconsistent Data Regulations amongst EU countries prior to GDPR
  2. Intra-company Data transfer within such as payroll data or customer details would require costly legal sign off
  3. Data transfer between 2 different companies for the purposes of outsourcing to low cost centre would also  require legal costly legal sign off
  4. This barrier to trade led to companies and organisations ‘complying’ by ticking the boxes
  5. The spate of of large breaches of customer data from dating sites to banks all around the world has put data privacy in the spotlight.
  6. As there is no sign of data breaches stopping the governments have had to take bold steps to make it simpler for  businesses and organisations to start real measures to protect customer data.
  7. A single cross border regulation makes it easier to comply and this is counter balanced by creating tougher and broader data protection requirements.
  8. Heavy fines will force businesses to comply which will be costly in the beginning, but in the long run this will be a competitive advantage.
  9. GDPRs ultimate aim is to protect customer data, which in turn will restore consumer faith in businesses & organisations, which in turns means more business and increase in trade across EU.

PwC’s economic crime survey 2016 shows that 20% of businesses in the UK have not carried out a single fraud assessment in the last two years.

According to Financial Fraud Action, there have been over million cases of card, cheque, phone or online fraud recorded in the six months from January to June 2016 – that is a 53% rise from the same period in 2015.

PwC’s economic crime survey 2016 shows that 20% of businesses in the UK have not carried out a single fraud assessment in the last two years.