Follow Us

We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message

EU data protection rules could cost small firms over £75,000 a year

If they have more data subjects, they might have to hire an expensive data protection officer

Article comments

New EU data protection rules could cost small firms over £75,000 each a year, according to the Federation of Small Businesses (FSB) and the British Bankers Association (BBA).

They said new data protection legislation being discussed by Europe's justice and home affairs ministers on Friday 6 December has the "potential to place an undue financial burden on small firms".

Additions to current proposals from the European Parliament's Civil Liberties, Justice and Home Affairs Committee would require small firms, which hold details of 5,000 customers or more, to employ a data protection officer at "an estimated cost of £64,000 per year" - the associations said.

They would also be forced to conduct a data protection impact assessment "costing £11,200 per year" and carry out a compliance review every two years.

FSB research has found that one in five (19 percent) of small firms already consider data protection to be the most burdensome regulation to comply with.

"The proposals from the European Parliament would only exacerbate the situation for many businesses", said the associations.

John Allan, national chairman at the Federation of Small Businesses, said: "If you are a small business with 4,500 customers on your mailing list you might reconsider plans to grow your business for fear of having to spend over £75,000 each year in order to comply with data protection regulations."

He said: "We are urging European leaders not to press forward with this law in its current form as small businesses would clearly suffer."

Irene Graham, managing director of business finance at the British Bankers' Association, said: "These new rules have the potential to place real burdens on businesses across Europe. We would urge EU politicians to reconsider their approach to ensure small businesses are not unduly affected."



Share:

More from Techworld

More relevant IT news

Comments



Send to a friend

Email this article to a friend or colleague:

PLEASE NOTE: Your name is used only to let the recipient know who sent the story, and in case of transmission error. Both your name and the recipient's name and address will not be used for any other purpose.

Techworld White Papers

Choose – and Choose Wisely – the Right MSP for Your SMB

End users need a technology partner that provides transparency, enables productivity, delivers...

Download Whitepaper

10 Effective Habits of Indispensable IT Departments

It’s no secret that responsibilities are growing while budgets continue to shrink. Download this...

Download Whitepaper

Gartner Magic Quadrant for Enterprise Information Archiving

Enterprise information archiving is contributing to organisational needs for e-discovery and...

Download Whitepaper

Advancing the state of virtualised backups

Dell Software’s vRanger is a veteran of the virtualisation specific backup market. It was the...

Download Whitepaper

Techworld UK - Technology - Business

Innovation, productivity, agility and profit

Watch this on demand webinar which explores IT innovation, managed print services and business agility.

Techworld Mobile Site

Access Techworld's content on the move

Get the latest news, product reviews and downloads on your mobile device with Techworld's mobile site.

Find out more...

From Wow to How : Making mobile and cloud work for you

On demand Biztech Briefing - Learn how to effectively deliver mobile work styles and cloud services together.

Watch now...

Site Map

* *