Government, Legal, Scotland, Technology

Legitimate concerns exist over access to personal information…

GOVERNMENT DATABASE

The rapid growth of information technology and the huge amount of information that can now be stored (and searched for) within seconds has brought some considerable advantages. It has, however, also raised some big challenges, particularly in relation to privacy and human rights.

Recently, the Scottish Government narrowly won a debate at Holyrood on a plan to allow public bodies to access data through an individual’s NHS number. Such data can be retrieved from a database known as NHSCR. Anyone who was born in Scotland or registered with a GP practice north of the border has a Unique Citizen Reference number held in the NHSCR.

The concern is not so much to do with the data that is already held here, but that the government wants various streams of data held by the National Registers of Scotland by postcode to be added to the register and freely shared with other public bodies.

A simple adding of the postcode information would remove by default the consent currently required by the address system.

Protagonists will argue that adding individual postcodes to a database has existed since the 1950s. They might add, as they should, that it helps to trace children missing from the education system and by helping to identify foreign patients accessing the NHS. And with laws currently moving through parliament, it will make it much harder to avoid paying Scottish rate income tax (SRIT), which comes into force next year. It has to be a good thing when better ways are found of ensuring everyone due to pay tax does pay that tax, setting aside of course the Scottish Government’s position on poll tax defaulters who have been allowed to see their debts owed to local authorities written-off in full.

The Scottish Government has tried to give assurances that no medical records will be shared, but there have to be causes for legitimate concern. Losing the crucial consent from the public for the information to be stored under an individual’s postcode is one. The sheer breadth of the public bodies this would be available to is another. What would be preventing Scottish Canals, Quality Meat Scotland or even Botanic Gardens Scotland from accessing personal information on any individual, which quite clearly would be far outside of their own operational domain?

Because no-one can predict the future with any accuracy and political environments can change quite quickly, thinly laid down arguments tend to perform poorly and can easily be lost within the plethora of the wider debate. But that is not the same as raising perfectly legitimate fears about the security of access to an individual’s personal data. The creation of one universal number, the huge amount of data stored by postcode and the number of organisations that would have access must increase the opportunity for abuse, either through wrongful proliferation, malevolent external hacking practices, rogue individuals permitted access to the network, or even by a government agency itself.

The least we should expect is that safeguards are spelled out in parliament so that there are reassurances on these reasonable points before the green light is given on these proposals. Otherwise, the whole plan will be seen as introducing ID cards by stealth by the back door, a process which, similarly, relies on the proliferation of information across a single database.

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Britain, Business, Economic, Finance, Government, Legal, Politics, Society, Taxation

Amazon’s tax advantage is economically unfair. Time to put a halt to it…

 

TAX LOOPHOLES

The age of the internet has brought colossal benefits to many large, multinational companies. No more so than for Amazon, a distribution giant. The company has earned very lucrative revenue streams, but has managed to deftly reduce its corporation tax bill through skilful use of tax loopholes. Last year, Amazon paid just £4.2 million in UK corporation tax, despite generating UK sales of £4.3 billion. The firm has been heavily criticised because it has now emerged that it avoided paying billions of pounds in tax last year by funnelling revenue of £11 billion through an overseas company based in Luxembourg. Amazon is also reported to have received a financial inducement and rebate amounting to £4m from the authorities in Luxembourg as part of the controversial arrangements.

This is all the more startling considering Amazon has received more than £10m in financial assistance from the Scottish Government, with the company opening a logistical distribution hub in Dunfermline, alongside its customer call centre in Edinburgh.

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Striking the right balance between competitive rates of Corporation Tax to attract foreign direct investment such as this while ensuring companies pay their rightful share is a difficult and complex area for politicians of all parties. Whilst Amazon’s avoidance causes public anger, governments have to take into account the investment the company has made in a country and the employment which that investment has created. Amazon may well argue that it would not have invested if it had been discouraged from exploiting this position.

A low rate of Corporation Tax which the UK offers in comparison to other countries is generally attractive for foreign firms wishing to make direct investment. But such schemes should also encourage companies like Amazon to pay and reduce the incentive for elaborate avoidance schemes of this sort. The loopholes provide too much of an economic and financial advantage for many large multinational firms. These require to be reined in through tighter political scrutiny and more exacting and better enacting of legislation.

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Government, Health, Scotland, Society

A backlog of £860m exists for maintenance work to NHS buildings in Scotland…

NHS BUILDINGS IN SCOTLAND

A report has revealed that maintenance work costing almost £860 million needs to be carried out on NHS buildings in Scotland.

While the backlog of work for the NHS estate has fallen from more than £1 billion in 2011, the figures available for 2013 show ten hospitals in Scotland require £360 million of work to be carried out.

Aberdeen Royal Infirmary has the largest backlog, with maintenance work required amounting to £60.27 million.

The latest report, examining the condition of the NHS estate, calls for investment to be prioritised at Aberdeen Royal, Ninewells Hospital in Dundee, Edinburgh’s Western General, Dumfries and Galloway Royal Infirmary, Monklands Hospital, Crosshouse Hospital in Kilmarnock, Glasgow Royal Infirmary, the Royal Edinburgh Hospital, the Victoria Hospital in Kirkcaldy, Fife, and Glasgow’s Southern General.

The report found that despite ‘substantial capital investment over recent years’, 28 per cent of Scotland’s NHS buildings are more than 50 years old, with a further 26 per cent more than 30 years old.

While 68 per cent of the NHS estate was classed as being ‘functionally suitable’ for its current use, the report said that 26 per cent of buildings needed investment to improve their suitability, while 6 per cent required either major investment or to be replaced to make them fit for purpose.

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