New data protection toolkit can help encourage collaborations with SMEs, says expert

Technology law specialist Luke Scanlon of Pinsent Masons, the law firm behind Out-Law.com, said that companies large and small would gain confidence from a new tool, developed by the UK's Information Commissioner's Office (ICO), that allows SMEs to check their compliance with the Data Protection Act.

"As more and more established businesses look to access new ways of doing things and the latest digital technologies through engaging with innovative start ups and SMEs they need to be sure that these businesses have effective processes to ensure that they are adequately dealing with regulatory non-compliance risk," Scanlon said. "The ICO's tool could give more businesses confidence that their innovation partners can live up to commitments to meet regulatory standards made under collaboration agreements."

The ICO said its self-assessment tool "provides handy links to relevant guidance and further information, and will generate a rating based on responses".

"Good data protection practice makes business sense," information commissioner Christopher Graham said. "It can lead to better, more efficient customer service and help to protect and enhance your reputation. It could also help you avoid a fine from the ICO."