The main purpose of the legislation is to help build confidence in electronic commerce and the technology underlying it by providing for an approvals scheme for businesses and other organisations providing cryptography support services, such as electronic services and confidentiality services.
The legislation is in three parts:
- Cryptography Service Providers: This concerns the arrangements for registering providers of cryptography support services, such as electronic signature services and confidentiality services.
- Facilitation of Electronic Commerce, Data Storage etc. This makes provision for the legal recognition of electronic signatures and the process under which they may be generated, communicated or verified.
- In recognition of the fact that much legislation pre-dates the age of electronic communications, the legislation gives Ministers the power to make delegated legislation to remove any restrictions in other legislation which prevent use of electronic communications in place of paper. One proposal is to amend the Companies Act 1985 (the cornerstone of UK company law) to allow companies to communicate with shareholders and Companies House by e-mail.
Miscellaneous and Supplemental: This part is concerned with the modification of telecommunication licences and general matters including the territorial extent of the Act.
It had been thought that the bill would be the first piece of legislation to receive Royal Assent by digital signature, intended as a symbolic gesture. However, Mark Cooper of the House of Lords’ Public Bills Office today told OUT-LAW.COM that, because the Queen will be approving three other bills today, she will instead sign a warrant assenting to all four bills. The titles will be read out in the House of Lords, where the Clerk of the Parliaments ushers them into law, saying: “La reine le veult.”
